If you are looking to label entire images as belonging to a class, then you will need to upload a classification dataset. Classification datasets require images/videos and in distinct folders. Class names are derived based on the folder names.
For example, if you are uploading images of dogs, cats, and raccoons, you should have three folders.
One folder should be called "dogs" and contain all dog images.
Another folder should be called "cats" and contain all cat images.
The third folder should be called "raccoons" and contain all raccoon images.
For detection of a single item in a Classification dataset, select Single-Label Classification
For detection of multiple items in a Classification dataset, select Multi-Label Classification
Note that if the goal is to detect movement or position, it is better to create an object detection project with the desired data. A Classification project merely answers the question "Is this label or annotation present in this image?"