Your dynamic meshing setup seems to be incorrect. You have picked up all the options - Smoothing, Layering, and Remeshing. What type of mesh are you working with - unstructured tetrahedral? Also, which surfaces are you having moving and deforming meshes? Could you please highlight in a screenshot?
The divergence seems to be associated with your dynamic mesh settings. At what point in your simulation are you seeing this issue? Is it at the very beginning?