Yes: as soon as a talent replies to a step, the sequence stops and later steps are not sent.
The sequence stops automatically when the talent replies
If the talent replies to any step, the sequence stops immediately. Remaining steps are not sent. You do not configure a condition: this behavior is automatic.
Example: your sequence is set up with a LinkedIn message, then an email. If the talent replies to the LinkedIn message, the email step is not sent.
What this is not
In More options on a step, you can choose to skip the step if the talent has no email address, no phone number, or is not part of your LinkedIn network. That policy only applies when the message cannot be sent, not when a talent replies.