Never Used iWatch 7000 Series Not Pairing with iPhone 11 Pro Max

I have the iWatch 7000 series that I just opened up today 10/11/20 (never bothered to open it). I finally started pairing it with my iPhone 11 Pro Max, but it is not pairing the watch to the phone. My phone states that the software has been updated, but the only option to get out of the screen states "Cancel." The "Cancel" option naturally asks to reset to factory settings. On my watch it stays stuck on the screen that has the tiny Apple logo with the watch series name and info for the watch.

I've tried resetting the watch several times as well as turning off my phone to reboot. Also, I tried pairing manually and automatically and it does not work. My iPhone software is the latest update.

(Yes, I know I should have used the device right away! Lesson learned!)