Here's a proof using your proposed strategy . . .
Clearly, any square in $S_5$ is an even permutation.
Thus, to prove that the set of square in $S_5$ is the same as the set of even permutations in $S_5$, it suffices to show that there are exactly $60$ distinct squares in $S_5$.
Any element of $S_5$ has order between $1$ and $6$ inclusive.
First let's consider what happens when we square an element of a given order.
- If an element has order at most $2$, then its square has order $1$.$\\[4pt]$
- If an element has order $3$, then it's a $3$-cycle, and the square of a $3$-cycle is a $3$-cycle, which has order $3$.$\\[4pt]$
- If an element has order $4$, then it's a $4$-cycle, $(a\;b\;c\;d)$ say, and its square is $(a\;c)(b\;d)$, which has order $2$.$\\[4pt]$
- If an element has order $5$, then it's a $5$-cycle, and the square of a $5$-cycle is a $5$-cycle, which has order $5$.$\\[4pt]$
- If an element has order $6$, then it has the form $(a\;b)(c\;d\;e)$, the product of a $2$-cycle $(a\;b)$ and a disjoint $3$-cycle $(c\;d\;e)$, and its square is the $3$-cycle $(e\;d\;c)$, which has order $3$.
From the above analysis, we see that there are no squares of order $4$ or $6$.
Next, let's count the squares . . .
Any element of odd order in $S_5$ is a square in its own cyclic group, so the elements of orders $1,3,5$ are all squares.
- There is only one element of order $1$.$\\[5pt]$
- An element of order $3$ is a $3$-cycle $(a\;b\;c)$. There are ${\large{\binom{5}{3}}}\!\cdot \!2 = 20$ such elements.
${\phantom{\Large{|}}}\!\!\!\!\!\!$Explanation: To construct $(a\;b\;c)$,
${\phantom{\LARGE{|}}}\;{\small{\bullet}}\;$Choose $\{a,b,c\}{:}\;{\large{\binom{5}{3}}}\;$choices.
${\phantom{\LARGE{|}}}\;{\small{\bullet}}\;$Choose which of $a,b,c$ comes after the smallest of $a,b,c$ in the cycle$\colon\,2\;$choices.$\\[5pt]$
- An element of order $5$ is a $5$-cycle $(a\;b\;c\;d\;e)$. There are $4! = 24$ such elements.
${\phantom{\Large{|}}}\!\!\!\!\!\!$Explanation: To construct $(a\;b\;c\;d\;e)$,
${\phantom{\LARGE{|}}}\;{\small{\bullet}}\;$Without loss of generality, assume $a = 1$.
${\phantom{\LARGE{|}}}\;{\small{\bullet}}\;$Choose an arbitrary order for $b,c,d,e\colon\,4!\;$choices.
Thus, we have $1 + 20 + 24 = 45$ elements of odd order, all of which are squares.
Next, we count the squares of order $2$ . . .
- Since a transposition is an odd permutation, it can't be a square.$\\[5pt]$
- Hence, if an element of order $2$ is a square, it must have the form $(a\;b)(c\;d)$, a product of two disjoint $2$-cycles. Moreover, every product $(a\;b)(c\;d)$ of two disjoint $2$-cycles is a square, since identically, $(a\;b)(c\;d) = (a\;c\;b\;d)^2$. There are ${\large{\binom{5}{4}}}\!\cdot \!3 = 15$ such elements.
${\phantom{\Large{|}}}\!\!\!\!\!\!$Explanation: To construct $(a\;b)(c\;d)$,
${\phantom{\LARGE{|}}}\;{\small{\bullet}}\;$Choose $\{a,b,c,d\}{:}\;{\large{\binom{5}{4}}}\;$choices.
${\phantom{\LARGE{|}}}\;{\small{\bullet}}\;$Choose which of $a,b,c,d$ transposes with the smallest of $a,b,c,d\colon\,3\;$choices.
Thus, there are $15$ squares of order $2$.
Since there are no squares of order $4$ or $6$, we've counted all the squares.
Thus, the number of squares in $S_5$ is $45 + 15 = 60$.
Therefore the set of square in $S_5$ is the same as the set of even permutations in $S_5$.