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No.
I love tiling the whole wall normally, but with a kitchen like this, upper-cabinet-heavy, I think it is overkill.
Even though you have a big gap up there above your cabinets and you would see the tile from a distance, I feel like you are just wasting your money. If it were me, I’d take that money and invest in additional cabinet boxes on top of the ones you have to make cabinets to the ceiling.
That would give you a more upgraded look.
If you don’t want to do that, then just end the splash at the underside of the hood and then align it on the end where the microwave is with the bottom of the microwave.
You have lots of upper cabinets and tiling above and below them here will not give you the “wall of tile” look you might be after.
For that look to be successful, you would need to get rid of a few of the uppers, like the ones on each side of the hood, to make that space feel more open. That, combined with the cabinets to the ceiling, would give you a “wall of tile” look and create a more custom and special elevation.
Honestly, I’d get all new uppers on that wall and put the microwave into the base cabinets as a drawer unit. I would also consider a cabinet around the fridge.
Not to add a lot of money to your remodel here, but I wouldn’t spend money on a design element, like tiling the whole wall, that won’t really get you the look you desire.
Backsplash Dilemma 2
Where do I end a backsplash at a peninsula?