There have been a lot of reports about this issue on these forums regarding the M1 Macs and external drives. There isn't much information about the details, but some external drives are not compatible with an M1 Mac due to the USB controller chipset used by the external drive. I did see a user and an online vendor confirm the JMicron USB chipset used by some external drives had issues with an M1 Mac, but other chipsets may also have some versions that may not be compatible.
I suggest disconnecting all other external devices and connecting the external drive directly to the M1 Mac. If you need to use a USB-C Adapter, then try using a different brand or try the Apple USB-C to USB-A Adapter. I don't have a lot of faith in multi-port adapters, docks, and hubs for testing these things. Also try booting the Mac into Safe Mode to see if that helps. You may need to contact the manufacturer of your external drive to see if there are any firmware updates available for it to work with an M1 Mac.
FYI, a Mac should be able to read an NTFS volume even though macOS cannot natively write to an NTFS volume. If you want to share a drive between macOS and Windows, then it is best to use Disk Utility to erase the drive as GUID partition and exFAT so both operating systems can access (read & write) the drive without using third party software.