You need to backup here.
Since you're adding a meter main with disconnect ahead of your current MAIN SERVICE panel where there was no disconnect before, the main service panel now becomes a subpanel which means you CANNOT use 3-wire feeder. You need a 4-wire feeder.
This also means that the neutral bar in the current MAIN SERVICE panel needs to be unbonded and NRTL listed ground bars need to be added. On older obsolete panels, this can prove to be challenging due to parts availability. Any ground wires currently on the now isolated neutral bar will need to be moved over to the new ground bars.
Also, any and all GECs from electrodes and bond wires from water and gas plumbing, water heaters, etc., need to be moved to the bonded neutral bar in the new meter main you put in.
As to your question in green, yes THHN can be ran through conduit in joists. But SER is easier. Personally I would go with AL SER....