I could see the OG difficulty being between Squire and Knight.
The issue with Knight is that you can have like 10 enemies ( I haven't counted, just an estimate) on the screen at once.
I never recall more than 5 or 6 in the arcade, which is more in line with Squire. Maybe the vulture tree in Ghouls is one part...not to mention the bosses are incredibly difficult on Knight.
Yes, I think you're right on the design - I still hope they can somehow patch it to make it smoother, but I'm not holding my breath.
I haven't played Resurrection (don't have a Switch), but you're pretty much on the money with low enemy counts in Daimakaimura/Ghouls n Ghosts.
There's a few sections with lots of enemies, but they all pretty much have a condition that makes it bearable. The tree is a good example since it's just a bunch of vultures that sorta don't do anything and if you just walk past it you get hit by a grand total of maybe one. As for the other ones I can remember:
1) 3-1, but it's an autoscroller so you can just focus on killing enemies. Though if you do have a bad weapon for it (sword or torch) you're pretty much screwed. All of the enemies there are also easy to deal with some way, being either immobile (wall knights), weak (flying goblins) or just really bad (the balloons).
2) The final part of 5-2, and even then it's near the end of the game and it's more "there's a lot of enemies if you go by total health rather than enemy count".
Most of the difficulty generally comes from one or two enemies coming in at weird arcs and just throwing you off your groove, and the longer you get thrown off your groove, the easier it is for you to get put into a no-win situation. (Fire bats in 2-2 and the fliers in 3-2 are the most drastic examples). Most deaths in the original come from getting checkmated rather than getting swarmed or cheaped out in some way.
That or you get a bad weapon drop you're forced to take.