In a survival world made since 1.17, located in a Y12 ravine that was partially water flooded and I ended up filling to all its bottom with water in order to convert lava blocks into obsidian blocks so I move arround there; and the glow squids spawn quite often there. But I've found that because of the one block height level of the water, specifically near the edges of the water body, those glow squids die by suffocation since the water is not deep enough to keep them in it.

I attach a MCWORLD file so you can check it as your heart content.