Place a large pot on the stove over medium heat and add the olive oil. Allow it to heat up for a few seconds until it starts to shimmer slightly.
Add the sliced onions and bell peppers to the pot. Cook them for a few minutes, stirring occasionally, until they become soft, slightly tender, and lightly caramelized at the edges.
Keep stirring every 30–60 seconds to prevent the vegetables from sticking or burning, and to ensure they cook evenly on all sides.
Add the shredded cooked chicken to the pot and stir it into the softened vegetables, allowing everything to combine well.
Continue stirring for a minute or two so the chicken warms through and absorbs some of the flavor from the vegetables.
Sprinkle in the chili powder, cumin, paprika, garlic powder, salt, and pepper. Mix thoroughly so the spices evenly coat the chicken and vegetables, creating that classic fajita flavor.
Stir continuously for about 1 minute to lightly toast the spices, which helps deepen the flavor and aroma.
Pour in the chicken broth and stir well, scraping the bottom of the pot to lift any flavorful bits that may have stuck.
Increase the heat slightly and bring the mixture to a gentle simmer. You should see small bubbles forming, but not a rolling boil.
Let the soup simmer for 10–15 minutes, stirring occasionally. This allows all the flavors to blend together and develop into a rich, cohesive taste.
If you’re using heavy cream, pour it in at this stage and stir well to create a creamy, smooth texture throughout the soup.
Let the soup simmer for another 2–3 minutes after adding the cream, allowing it to thicken slightly.
Taste the soup and adjust seasoning if needed—add a pinch of salt, pepper, or extra spices based on your preference.
Remove from heat and serve hot, enjoying the rich, flavorful, and comforting keto chicken fajita soup.