I am running multiple Wordpress customers on digitalocean $20/month plans, and some of them get more than 50k uniques per month, never had any issue. Never did much optimization. I am pretty sure the issue is your hosting. Also check your Apache error log, maybe you are using some plugin or theme that is overloading the memory with some crap code like majority of free Wordpress plugins/themes.
p.s make sure to update to php 7+. The speed difference was very noticeable when I upgraded
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