In a medium bowl, mix together the softened cream cheese, shredded cheddar, diced jalapeños, and crumbled cooked bacon. Add garlic powder, salt, and black pepper. Stir until everything is evenly combined.
Using a sharp knife, carefully slice each chicken breast horizontally, leaving about ½ inch on the side so it can hold the filling. This creates a pocket for the cheese and jalapeño mixture.
Spoon the prepared cheese filling into the pocket of each chicken breast. Fold or secure the edges with toothpicks to keep the filling inside.
Sprinkle the outside of each chicken breast with paprika, salt, and pepper for extra flavor and a nice color.
Preheat your air fryer to 375°F (190°C). Spray the basket with cooking spray and place the stuffed chicken inside, seam side down. Cook for 15–20 minutes, flipping halfway through if needed, until the chicken reaches an internal temperature of 165°F (74°C) and the cheese is melted and bubbly.
Remove the toothpicks, let the chicken rest for a few minutes, then slice and serve immediately. Perfect with a side salad or roasted veggies!