That would be the mistake. Orca asks for an API key here, not a password (and also not a passkey).
Go into OctoPrint, click on your user name, in the dropdown select "User Settings", go to "Application Keys", manually generate an application key (call it OrcaSlicer or something like this). Copy and paste THAT into Orca.
I see the Host-Type is labelled 'Octo/Klipper' in the screenshot. Is this Ender 3 S1 running standard Marlin firmware with OctoPrint, or are they attempting to connect to a Klipper instance? If it's Klipper, does that change the API key requirement, and which is the recommended method for an S1?
No, it keeps the same because you are connecting to OctoPrint, not to the Printer.
OctoPrint and Moonraker have similar protocols, so they are the same Host Type.
Moonraker in deed will have it's own API key as well as a different IP port.