You can also have a script update a netwatch’s host= periodically from a scheduled script that does the :resolve. Why I showed using a comment, since that be used to find one to resolve.
It should allow DNS. But a bit tricky since the next question be how often it looks it up. e.g. does it follow a TTL or resolve DNS per run… Using the “indirect” way of using a schedule to update a netwatch entry’s host allows you to control how often the DNS gets resolved.