Our hapless 3rd-level party picked up a Night Hag and a Green Hag while we were trekking through the jungle in our last play session. They had disguised their forms to travel with us and before we realized what they were, two of our characters had been Nightmare Haunted and are currently down max hp. Once we realized what they really were we 'drove them off', but we suspect they may be following us ethereally and may try another Haunting on our next sleep.
The party wizard has access to Alarm (but not Tiny Hut). I agree, and suspect our DM would agree as well, that Alarm will not be triggered by the Night Hag approaching us while ethereal.
However, to use her Nightmare Haunting,
[w]hile on the Ethereal Plane, the hag magically touches a sleeping humanoid on the Material Plane.
If she is actually touching our party member on the Material plane, it seems like that might trigger the Alarm, which can react:
whenever a Tiny or larger creature touches or enters the warded area.
Would the Hag remaining ethereal but touching a creature on the Material count as touching the warded area and thus trigger the Alarm? That is, does touching a creature in the area count as touching the area?