Freeing up space · Caches and clutter
Can Storage Studio free the space used by Xcode simulators and archives?
Short answer: Yes. What's Using Space lists Xcode simulators, archives and device support files and can move them to your fast drive with a link left behind; Xcode's derived data is cleared as a cache instead.
Yes, by moving rather than deleting. What's Using Space checks for Xcode simulators, archives and device support files, and offers Move to fast drive on the ones big enough to matter. The data goes to your fast drive and a link stays in its place, so Xcode keeps working.
Xcode's derived data and module caches are different: they're true caches, so Free Up Space clears them instead — see which developer caches are cleared.
Keep the drive connected while you develop, since the moved files live there.