Fitness trackers and smartwatches now share many sensors and activity features, so the difference is no longer a clean list of what one can do and the other cannot. The more reliable distinction is product emphasis: continuous activity tracking in a compact device versus broader on-wrist computing.
That emphasis affects screen size, controls, apps, notifications, battery demands, and how often the wearer interacts with the device. Sensor data also needs the same caution in both categories: steps, heart rate, sleep, calories, and fitness values may be useful estimates without being exact measurements or medical findings.