The only other game like Iron Danger I played was Pillars of Eternity so I don’t really have a great deal of experience when it comes to games similar to it.
I liked the rewind mechanic from the get-go and I just knew I’d like it even more as the game went on.
I tried to use stealth where applicable but there are just some missions especially later in the game where combat is hard to avoid (required, even, no matter how much you try to sneak) and you just get absolutely swamped by enemies - those were really frustrating.
Trial and error is at the core of the game more than anything though so it does get easier the more you try more stuff until something you do just somehow works even if you don’t know how or why exactly it all worked out.
I kept replaying every encounter the moment I got damaged. In my mind I kept thinking: “I have time manipulation. There’s absolutely no reason for me to take damage.”, but that’s just me.
It does get better the more skills you acquire especially on the main character. I found myself just using her skills more while the others just acted as a blocking tank or a dodging decoy.
It gets tougher (more enemies later on) but easier (because of new skills you get later on) at the same time as you progress through the game.
I certainly recommend playing Iron Danger some more.

Happy holidays to you as well!