Hey there,
As you reset your Apple Watch and again wanna connect to it, you can connect.
As you mentioned that both devices are updated, So there will be no chance to not connecting.
As you got this barcode(image which you shared).
you need to go to watch app which is on your iPhone and then you need to tap on start pairing, At that time, your iPhone’s camera will gonna opens up and you just needs to take iPhone camera to scan your Apple Watch. The stars which you are getting on your Apple Watch is nothing but an barcode.
If this won’t work,
you can go through same process, but you needs to connect with (pair Apple Watch manually) option which will be visible when you opens Apple Watch app on iPhone and click on set Up for myself at that time your camera will be open and same time you will get this option at bottom,
and there you needs to enter the code which will be available on your Apple Watch.
The picturewhich you added, In that you can able to se the (i) option on the botom right of your Apple Watch.
So you needs to enter that code on iPhone there.
and once it done.
you can able to se that your Apple Watch is pairing and you needs to follow the instruction which will be showing on your iPhone.
If accidentally you unpaired your Apple Watch while having Apple ID on it.
So you needs to unlock device first by adding your Apple ID, as it is for security if some one stole device.
As you are using and got Apple ID you you can easily access it by adding Apple ID password on it.
hope this might help.