Is Transcend JetDrive compatible with Monterey

I’m afraid that the Jetdrive will get damaged from all this disconnecting.

Only if you were writing to it when you put the Mac to sleep.

At most, you would probably only suffer data loss. macOS mounts removable storage with write cacheing enabled. So, theoretically, if you disconnect the drive while the cache is still writing to the drive, you might lose the data it is writing.

I can't remember if it is possible in the battery System Preferences, but try disabling the feature to put drives to sleep when able.

You won’t lose anything already written. It is possible that if it hasn’t completed the write you would lose that data that it is actively writing. Don’t put your Mac to sleep while writing to the drive.