Unreal Engine 4.21 Released!

I think you UI Button issue is linked also to : Unreal Engine Issues and Bug Tracker (UE-50329). There is clearly an issue with the “use mouse for touch” in the Events.
I bet both are linked to the same root cause.

As a work around, try to set to false: IsFocusable

I agree that Pressed & release Events should not be impacted by the “Use mouse for touch”.

UE-50329 have some repro step and the answer hub contains also repro. I hope they will fix it… it is there since months (4 versions).