Us of the ZSH shell "prompt" command
The macOS Catalina change the default Unix shell to zsh (pronounced zee...shell).
The .zshrc is the place that is similar to .bash_profile and .bashrc in the bash shell.

Before we start this, make sure your terminal is in zsh, otherwise change to zsh with chsh -s /bin/zsh command.

In your default directory

# nano .zshrc

Type the following:

PROMPT="%d"

Then run the profile

# source .zshrc

Here you go, got your prompt with only the current directory in your zsh prompt.

Here is my setup : PROMPT="%d: %h--&gt;"
Which put a current directory and command history with --&gt; in prompt.

Here is an in-depth description of how to customize your prompt:
https://scriptingosx.com/2019/07/moving-to-zsh-06-customizing-the-zsh-prompt/

To learn the difference of bash shell and zsh:
https://sunlightmedia.org/bash-vs-zsh/

A cool zsh prompt generation tool:
https://zsh-prompt-generator.site/