VS Code has code folding already, of course. Almost any logical bit of code is foldable. A CSS ruleset, a JavaScript function, a nested bit of JSON, any HTML element with children, etc.
But if you want to make a custom section of code foldable, you can wrap in special code comments like this:
/* #region */
/* #endregion */
Code language: CSS (css)
Those are valid comments in CSS and JavaScript, but not all languages, so the syntax tends to follow whatever normal comments are in that language. HTML is:
<!-- #region -->
<!-- #endregion -->
Code language: HTML, XML (xml)
You can also put extra text after those keywords if it’s helpful to have their name be visible after you’ve folded, like <!-- #region FooterStuff -->
.