Windows will show “connected standby” because they removed the switch that Windows 10 had for it. But that does not mean anything.
If you check the report powercfg /sleepstudy will even show that Windows disconnects from the internet when sleeping on battery (at least on my systems).
Now, the WiFi card might be doing its own thing. By default, the Intel AX210 cards have Wake-over-WiFi enabled and therefore keep the WiFi connection itself active as long as they can, even if Windows thinks it disconnected. But it will not actually wake Windows up and disconnecting it does not change the power consumption in standby. So it does not even mean anything if you can see your notebook remain connected to WiFi from the AP.
The sleep-study report will also give info if the device woke up for some reason and then simply never went back to sleep due to sleep settings.
And the device getting hot in the bag when you waited to put it in the bag until the fans came to a complete and full stop is some kind of bug.