It’s a NUC so sufficiently poweful. Proxmox isn’t fat by any means. If you run your stuff in containers then Proxmox (I aways install it on top of Debian) is your hypervisor is your base system. You typically don’t install stuff on your hypervisor, though I do some very select things.
I hear you, but Proxmox does a great many more things than just run containers. Admittedly, many selfhosters won’t need these.