Assuming the USB drive is big enough, like a 256 GB SSD, there shouldn’t be an issue. But I wouldn’t expect UE to run directly from the USB drive if you take it anywhere else. It will reference registry keys, user’s AppData folder, ProgramData folder, etc.
The first thing I suspect is not enough space on the disk. Can you confirm that? You’ll want 100GB.
The next thing would be a loss of data, like the USB getting unplugged briefly or a bad connection. Or the USB truly has corrupted blocks. You could try a different drive.
Sorry for responding so late.
The usb has a total of 128 GB of which 30 are occupied