I'm in a similar boat. I already have an M1 Max MBP but wanted something lighter. The MBP is currently "tied" to a desk with two monitors, so it's a bit inconvenient to disconnect and take through the house or on short trips, so I was looking for something lighter without needing the power the M1 Max gives me.
I decided to save money and not buy anything. I did come close, though, on an Air. Another option is the renewed Mac Studio that would free up that MBP. I just couldn't do it, though.
Apple always has great displays, even if they're not mini-LED. Those are even more premium, but in most cases if you're not watching video where blacks come into play, you may not notice much difference. I can't say about 120Hz, though. Some people can see it, some can't.
If you have everything connected through a dock, it's just one cable to disconnect. The dock would charge the MBP at the same time. Even with a MBA M2, you'd probably have it plugged into power.
I only have one external monitor, but it is a Samsung S80A with USB-C connection and 90W charging, so everything goes through that one cable w/o needing even a dock.
I was in a similar boat as well. I've had a 2019 nearly-maxed 15" MBP since 2019. Until fairly recently that thing was my main everyday/everything system, including for work. My job is 100% work-from-home by design, with a little bit of travel here and there. I couldn't justify having a machine
specifically suited for travel (small, thin, light, etc) -- I needed a machine that was excellent computationally and capable of being relatively easily mobile when I needed it to be. This view evolved though in just the last month or so.
I found I was using the MBP much more like a desktop than a laptop. I prefer a sitting desk for the comfort, posture and ergonomics so that MBP was tethered to a desk for much of its life. At least 3-of-4 of those USB/TB ports were in use at any one time -- the most significant of those being the one port that was in use by an external GPU enclosure. That eGPU enclosure was a powerhouse in and of itself and drove a few monitors. A single connection for power AND display data is convenient and all, but... it also meant the MBP was on charger literally all the time. That TB cable provides video data and power, not one or the other. In other words, the only way to let the machine run on battery was to disconnect that TB cable and lose power AND external displays.
I tried to be conscious of this and make it part of my routine to disconnect that eGPU enclosure from the MBP and let the battery cycle. It wasn't enough though and it took its toll on the battery. Ultimately the battery wasn't holding much of a charge after three years and I had it replaced under AppleCare+.
Just be mindful of the one-cable-for-everything kind of setup when used with a laptop. macOS has that "optimized" battery charging functionality but ideally batteries still need to be cycled regularly for their health and the one-cable thing might make that a little tricky.
I wound up switching my everyday/everything setup to a desktop-class system in the form of a Mac Studio. I ordered a BTO M1 Max system in mid-June and was quoted mid/late July delivery. It arrived June 30th. I think that was before the refurbs were available and also long before I learned of the infamous fan noise/whine/squeal issue on the Studio systems. Anyway I knew I still needed a mobile-capable system for those rare times I need to be mobile for work or whatever. I had my heart set on the M2 MBA since earlier this year or so when we learned they were in the pipeline. Ordered a Midnight setup early this morning.
I know everyone's use-case is different and unique. I think this is going to be an excellent pairing for my needs. I've been a fan of the MBA for a long while. I still have a 2012 MBA in possession here (that coincidentally needs a battery replacement due to sheer age now) which was my main workhorse at my last job for a long long while and today lives on to run Linux.