Most likely it's outdated drivers or a loose connection, not necessarily the card dying on you. AMD cards sometimes have weird issues with certain drivers, especially older versions. First thing I'd do is download the latest drivers from AMD's official site, completely uninstall the ones you have now (use DDU if you can, it's a program that cleans everything out) and reinstall from scratch. A lot of times that fixes random disconnections with no major consequences.
In the meantime, physically check the PCIe slot and the card. Sometimes dust buildup or a connection that didn't seat properly causes exactly this: screen goes black, the system detects it disconnected and when it reconnects everything goes back to normal. Take the card out, clean the gold contacts with a soft eraser or a dry cloth, and put it back in making sure it goes in properly. If you have a cooler that's rubbing or something like that it can also cause it to shift around.
If it keeps happening after all that, then yeah it'd look more like a hardware problem, but before assuming the worst try that. If the card was actually failing, you'd typically also see visual artifacts, crazy high temperatures or worse crashes, not just clean disconnections.