Mac M1 performance tanked fan always on if screen is open

computer that has only 8GB or RAM can NOT run any Mac applications is an appropriately-responsive way when running Monterey or later. Using high-end architecture Apps is out of the question. You need MORE COMPUTER than the entry-level computer you have on hand. Apple does not even sell any computers with only 8GB or RAM, because its not enough for anything.

You can use Activity Monitor to see RAM Pressure in a visceral way just how dire your RAM situation is:

View memory usage in Activity Monitor on Mac - Apple Support

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In many cases a drive with only 60 GB free is essentially FULL. You could attempt to store an additional 64 GB of simulated RAM on its and have a truly spectacular out-of-space crash.

So when you select a replacement for this computer, it will need to have MUCH more disk space as well.

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You could continue to use this computer for mundane tasks like web surfing and emails and minor word processing, but you would need to run no more than ONE Application at a time -- completely Quitting one Application before launching the next. Also, Restart several times a day to clear caches.

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<< Activity monitor doesnt work at all. crashes every time I open. >>

Have you run the diagnostic?

Use Apple Diagnostics to test your Mac - Apple Support

if you have a code other that ADP000, you can get it repaired. (IF no longer covered by AppleCare, at YOUR expense).

I strongly recommend you spend your the money needed to repair on a better computer with AT LEAST 16 GB RAM.

How much RAM memory in your Mac?

How much boot drive space is completely FREE?

By far the easiest way to cause poor performance, instability, overheating and crashing is to install ANY third-party speeder-uppers, Cleaners, Optimizers, or Virus scanners, Bit Torrent, or a VPN that you installed yourself.

¿Are you running anything like that?