Apple Watch: Must Reset "Detect Gym Equipment" Every Time to Pair With Gym Equipment

I must toggle the on/off setting for "Detect Gym Equipment" every time in order to pair with my Peloton Bike. This behavior began about a year ago. In previous years, I experienced no such issues. A connection would be established without having to go into the menu system and toggling this.

The typical procedure is to select a workout on Peloton and, when prompted, put the Apple Watch near the top center of the screen for pairing. At this point, the Apple Watch should vibrate and a prompt on the watch appears, requiring pressing to confirm connection. My watch will not do any of this without toggling "Detect Gym Equipment" off and then on again.

I have factory reset the Apple Watch (Series 5). I have updated the OS (watchOS 9.6).

Any ideas as to what the issue is?