Simial problem with my Mac book air 2014 with 30 GB free.
Find some cache for old devices in xCode and delete them. Now + 10GB and update is going.
alternativly use app by Kolakowski. It does the same job.
https://apps.apple.com/us/app/devcleaner-for-xcode/id1388020431?mt=12
Very sad to see that 40GB needed to install 5GB.
RomanSV
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