I see people having a small 8 gigs and 4 core system and trying to split that with something like proxmox into multiple VMs. I think that’s not the best way to utilise the resources.
As many services are mostly in ideal mode so in case something is running it should be possible to use the complete power of the machine.
My opinion is using docker and compose to manage things on the whole hardware level for smaller homelab.
Only split VMs for something critical, even decide on that if it’s required.
Do you agree?
Proxmox and LXCs vs Docker is just a question of your preferred platform. If you want flexibility and expandability then proxmox is better, if you just want a set and forget device for a specific static group of services, running debian with docker may make more sense to you.