Hi urbnabc,
Welcome to Apple Support Communities. We understand that you're having an issue with your external monitor that's connected via Thunderbolt. We'd like to help.
We understand this issue is intermittent, so it can be challenging to know if troubleshoot is successful for a bit. We'd still like to try to get this issue resolved.
You can run safe mode on a MacBook Pro with Apple Silicon. While a restart is part of it, there are also some key presses that you'll need to do. Check out these steps to get that done:
Start up your Mac with Apple silicon in safe mode
1. On your Mac, choose Apple menu
> Shut Down.
Wait for your Mac to shut down completely. A Mac is completely shut down when the screen is black and any lights (including in the Touch Bar) are off.
2. Press and hold the power button on your Mac until “Loading startup options” appears.
3. Select a volume.
4. Press and hold the Shift key, then click Continue in Safe Mode.
The computer restarts automatically. When the login window appears, you should see “Safe Boot” in the menu bar.
These steps and other info about safe mode can be found here: Start up your Mac in safe mode - Apple Support
You can also try to swap the cable for another Thunderbolt cable. We know if will take some time for the issue to reappear so testing both safe mode and a new cable can help you isolate this issue.
Let us know how that goes.
Cheers!