Issue solved after disconnecting/reconnecting iPhone, waiting for Preparing both iPhone and Watch, and then enabling "Connect via network" on "Devices and Simulator / iPhone"

After restarting Xcode and iPhone multiple times and fighting against "Making the device ready for development", the issue disappeared. Now, I'm stuck on Profile trusting issue with iOS15. see https://stackoverflow.com/questions/69267550/ios-15-untrusted-developer-issue

Same for me. iOS 15. BigSur 11.6. Xcode 13.0.