Ouray will always be packed. It's one of the most popular summer areas in Colorado. I suggest snagging an AirBNB or hotel in Telluride and driving in. It's about a 45-60 minute drive depending on traffic and Telluride is a cool town.
It is a gorgeous area but it's definitely not the first time for LRNR to be held in this area, or even in Ouray.
I hope that folks coming from the East will make time for some SE Utah driving (not Moab) before or after the event.
I don't think that the problem is the events themselves, but the historically low number of Defender owners who actually take their trucks off-road. An even smaller number will make a long highway trip to the desert.