Originally Posted by
Scots_Al
I thought it dated from the Plague - when anyone sneezing (much like anyone coughing in 2020) was presumed to be not much longer for this world!
But obviously I don't actually know!
I cheated and asked GPT4. I'm not going to post its response here because doing so would sap some of the joy out of this discussion, but I wanted to let you know that it likes your theory the best, and goes into a little more detail (e.g. after the plague positive person sneezed, the blessing was supposed to unleash good spirits to combat the bad spirits present in the sneeze).