I looked into trying to disable the update notifications on my watch, but there doesn't seem a way to disable the notification feature....Luckily it's not that big of a deal; I simply just ignore update notification.

Yeah, your right, I can also turn off my WiFi and Bluetooth when I set my watch on the charger; to avoid the auto software update.  But it's just easier for me to just turn off my watch, when I set it on the charger, cause I might forget to turn back on the Bluetooth feature when I take it off the charger.