Are there any proofs of the undecidability of the halting problem that directly explore why it's impossible for a program to decide what another program will do?
I think this may be based on a misconception about the "umbrella" of contradiction extended by the halting problem.
The contradiction is resolved by the statement "there is no universal algorithm," but consider absurdly that this would imply that there could exist an algorithm which decides halting for all but a single problem. We all know this is not the case, as is it clear from the problem that it extends further, but I haven't seen this precisely characterized anywhere, so I'll do it here.
Stronger Conclusion for Halting Problem
For any proposed halting decider $ H $, there exists a pathological subset $P_H $ of Turing machine and input combinations such that $H $ cannot correctly decide the halting problem for any $ (M, x)$ in $ P_H $. Specifically, within this subset, the machine $ M $ simulates $ H $, ensuring a contradiction or negation of $ H $'s decision.
In symbolic terms:
$$
\forall H \exists P_H \subseteq \{(M, x)\} : \forall (M, x) \in P_H, H(M, x) \neq M(x)
$$
Where $ P_H$ is defined as:
$$
P_H = \{ (M, x) \mid (M \text{ simulates } H) \land (H(M, x) \neq M(x)) \}
$$
This is the full extent of the contradiction: it doesn't actually say anything about the algorithm's "understanding," only the limitations of what the understanding can accomplish and, counterintuitively, there would be no contradiction in the algorithm being "smart enough" to recognize such an unsolvable problem, as it doesn't actually afford it a solution.
When viewed in this way, it should be clear that extending the problem to include a "broader" idea of why these are unsolvable is not supported by the conclusion itself, since the why is plainly stated, and limited in scope: there is a pathological subset for any given solver.
If you want an example that may characterize this well for class:
Assume you are deterministic. AI has taken over the world, but has offered you a challenge by which you can save humanity: you must beat it at a guessing game.
The premise is simple, you may place either a 1 or a 0 into a sealed envelope. The computer will do the same. If they do not match, the computer wins (you decide the problem incorrectly), if you do not answer, the computer wins (since no decision is made), and if you answer correctly, you win (you solve the halting problem).
Now, you are given access to the full source code of the supercomputer before the game by a human hacker. Looking into the code, you immediately realize your own mind, which is deterministic, is entirely represented there, not as it is right now, but as it will be upon your guess. You see, the supercomputer has actually predicted all local events as everything is deterministic, and knows exactly what you will do, including looking at the source code. As you read it, you can literally observe the logic that the machine will use regarding your reading it, but of course, there is logic based upon you knowing it knows, and so on and so forth.
Now, you might think "aha, now I can solve the problem! I can change what I would do!" but if you look carefully, you'll see this is not the case. This is the halting problem, in essence: you can be inside of it, understand it entirely, be an extraordinarily adaptable algorithm. However, if you are "captured" by another machine, it doesn't matter, since any change you make is represented by definition in the pathological machine's reasoning, and ties go to the pathological machine.