Q1: After this card's On Play effect was used to prevent a level 4 or lower Digimon from attacking, the Digimon digivolved and became level 5 or higher. Can this Digimon attack?
Yes, it can attack. The effect reads ""all of your opponent's level 4 or lower Digimon,"" therefore the effect will no longer affect Digimon that become level 5 or higher after the effect activates. On the other hand, Digimon will be affected by the effect if they become level 4 or lower or a level 4 or lower Digimon is newly played on the battle area after the effect activates.
Lv.6 GreyKnightsmon EX4-021 SR Mega | Virus | Dark Knight/Blue Flare/Twilight [On Play] <De-Digivolve 1> 1 of your opponent's Digimon. Then, all of your opponent's level 4 or lower Digimon can't attack until the end of your opponent's turn. [All Turns] When this Digimon would be deleted or returned to your hand or deck, you may play 1 [MetalGreymon] and 1 [DarkKnightmon] from this Digimon's digivolution cards without paying the costs.
Lv.6 GreyKnightsmon EX4-021 SR Mega | Virus | Dark Knight/Blue Flare/Twilight DigiXros -2: Blue [MetalGreymon] × [DarkKnightmon] [On Play] <De-Digivolve 1> 1 of your opponent's Digimon. Then, all of your opponent's level 4 or lower Digimon can't attack until the end of your opponent's turn. [All Turns] When this Digimon would be deleted or returned to your hand or deck, you may play 1 [MetalGreymon] and 1 [DarkKnightmon] from this Digimon's digivolution cards without paying the costs.
Lv.6 GreyKnightsmon EX4-021 SR Mega | Virus | Dark Knight/Blue Flare/Twilight [On Play] <De-Digivolve 1> 1 of your opponent's Digimon. Then, all of your opponent's level 4 or lower Digimon can't attack until the end of your opponent's turn. [All Turns] When this Digimon would be deleted or returned to your hand or deck, you may play 1 [MetalGreymon] and 1 [DarkKnightmon] from this Digimon's digivolution cards without paying the costs. {{DigiXros|2|{{Colour|Blue}} [MetalGreymon] x [DarkKnightmon]}}
Lv.6 グレイナイツモン EX4-021 SR 究極体 | ウィルス種 | 暗黒騎士型/ブルーフレア/トワイライト 【登場時】相手のデジモン1体を≪退化1≫。その後、次の相手のターン終了まで、Lv.4以下の相手のデジモン全てはアタックできない。 【お互いのターン】このデジモンが消滅するか、手札、デッキに戻るとき、このデジモンの進化元から、「メタルグレイモン」と「ダークナイトモン」1枚ずつをコストを支払わずに登場できる。