You’re right, it should be bootx64.cfg, I’ve copy-pasted and didn’t recheck.
Check the link to stackexchange from this post:
I think you can only set label when you create entry and can’t change it after this. You can delete old entry and create same entry with new label.
Yes, these should be the right steps.
You can try to first create new entry the same as “ubuntu” but with changed label to “Ubuntu Grub” for example and check if it works. If it works then delete old entry.