Yes, blhost seems to work as expected.
I asked my colleague to build your project in his environment and to give me a ready binary. The ResetISR address in his environment is 0x20000b0d, but outcome after execute is exactly same. Code runs in the loop:
1C000792 B 0x1C000792
This seems to be some final loop.
I've enabled breakpoint on core reset, but debugger doesn't stop there.
Also I've enabled stop on every fault/exception, but nothing happens.
If I reset to bootloader with NMI pin, debugger happily stops at "CPSID i" instruction at address 0x1C0001EC:
>1C0001EC CPSID i
1C0001EE LDR R0, [PC, #0x38] ; [0x1C000228]
1C0001F0 LDR R1, [PC, #0x38] ; [0x1C00022C]
1C0001F2 STR R0, [R1, #8]
1C0001F4 MOVS R2, #0
1C0001F6 MOVS R3, #0
1C0001F8 MOVS R4, #0
1C0001FA MOVS R5, #0
1C0001FC MOVS R6, #0
1C0001FE MOVS R7, #0
1C000200 MOV R8, R7
1C000202 MOV R9, R7
1C000204 MOV R10, R7
1C000206 MOV R11, R7
1C000208 MOV R12, R7
So I believe debugger is working.