What makes diazo compounds so unstable and explosive?
Well, your question is equivalent to “what is it about α-diazoketones that makes them so much more stable?”, which is easier to see. Compared to an alkyldiazo, the α-diazoketone has a resonance structure in which the negative charge goes to the ketone’s oxygen (and far away from the positively-charged nitrogen atom):



Because the oxygen is a quite electronegative element, the resonance form is quite stable and explains the extra stability of α-diazoketones. It is for the same reason that the protons in position α to the ketones are always more acidic than alky chain protons.

Coming back to alkyldiazo compounds, you have to realize that merely being able to write a resonance structure does not intrinsically imply stabilization: the resonance structure has to have some intrinsic stability factor. In the alkyldiazo, the resonance form you wrote is a carbanion, which is considered quite unfavourable unless it has a further stabilizing factor. Moreover, the most common reactions gives N2, which is a very stable compound… the reaction is thermodynamically very favourable.