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First, your link to the tutorial is broken. If you use this DO tutorial at Step 3, your output will look similar, except for the “type error”. If you want to keep testing in this mode while your console is disconnected, try
nohup npm start &
The nohup command will try to run the command without a tty (see man nohup). The output will usually be in a file named ‘nohup.out’ where you started the command.