Apple Watch Disconnects Constantly

I purchased a new iPhone 16 pro max and had to completely reset my Apple Watch Nike series 3 to have it connect. It lasted 6 days connected and now it is disconnecting daily. The only way to get it to connect again is to completely reset the watch - which is not a fun daily task.

Both devices are fully updated.

My phone will still show the watch on find my but the watch says the phone was left behind and needs to be brought close to connect - but won’t even when on top of each other.