As of now, Uta is indeed alive. The story hasn't depicted anything otherwise. Maybe there'll be changes in the future, but for now, Uta's part in the manga continues with them being alive.
According to your needs, I recommend a novel called "I'm Shinata in Naruto World". The main character is a woman. After she transmigrated to Naruto World, she became Shinata and fell in love with Ningji Hinata. This book is full of funny and sarcastic elements. I believe you will definitely like it. I hope you like this fairy's recommendation. Muah ~😗
Their relationship could start with Uta being initially distrustful of Luffy. After all, Luffy is a pirate and Uta has her own ideas about pirates. But as she sees Luffy's pure heart and his determination to protect his friends and pursue his dreams, she starts to warm up to him. They might then become friends who share their different stories and experiences.
" Uta's Dream " and " One Piece Uta, The World's Songstress " were two novels recommended for playing Uta. Both novels had stories and character settings about Uta.