According to the JWT website's introduction (https://jwt.io/introduction) - yes, the JWT token can be encrypted to provide secrecy between parties.
What is JSON Web Token?
JSON Web Token (JWT) is an open standard (RFC 7519) that defines a compact and self-contained way for securely
transmitting information between parties as a JSON object. This
information can be verified and trusted because it is digitally
signed. JWTs can be signed using a secret (with the HMAC algorithm) or
a public/private key pair using RSA or ECDSA.
Although JWTs can be encrypted to also provide secrecy between parties, we will focus on signed tokens. Signed tokens can verify
the integrity of the claims contained within it, while encrypted
tokens hide those claims from other parties. When tokens are signed
using public/private key pairs, the signature also certifies that only
the party holding the private key is the one that signed it.
You will need to consult your provider's documentation like AppId, Keycloak, Azure B2C, etc for more information on how to encrypt it if it is supported by your auth provider.