Good. The fast charging introduced in newer Apple Watch models is a plus, especially as the battery is now made to last longer for sleep tracking since the Apple Watch Series 6.
I do charge it in the evening after a busy day, or when I shower after working out. I take it off the charger once it hits somewhere in 90 percentage, or by the Optimized Charge Limit if it kicks in. If you sleep track with your Apple Watch your iPhone can send you a notification once it is fully charged. That way you can prevent overcharging and make sure to put your Apple Watch on your wrist every day!
I do need to use sleep tracking on my Apple Watch not just for stages and alarms, but it is required for a third party app named Peaks to determine the routine and adjust my daily schedule accordingly. watchOS 11’s vitals app also requires you to wear your Apple Watch to bed every night and it determines your resting heart rate, breathing rate, blood oxygen (if applicable), temperature (Apple Watch series 8 and later), and sleep time.