Is it normal for my Xbox One S to squeak while running?
No.
Broken fan?
Yes, that's normal, even if there's so much smoke that is just wanted
This is the CD drive, it can be harmless or dangerous
Ahahahah
That just happens sometimes and then stops after a certain time
How can you tell if it is dangerous?
Actually, only Microsoft can say that itself. Remote diagnosis is difficult. My advice just call or send a recording