Loop in setup. How to remove it?

From what I have gathered, the problem in that post points out to some kind of conflict between openresolv and resolvconf making functionality of unbound a mess. In this case, forwarding unbound requests to pihole-FTL.

I don't know how the poster looks up number of status 14 - Already forwarded, not forwarding again.
But a loop is present, and I think something similar is happening under the hood.

Here's my /etc/resolvconf.conf file(unchanged).

# Configuration for resolvconf(8)
# See resolvconf.conf(5) for details

resolv_conf=/etc/resolv.conf
# If you run a local name server, you should uncomment the below line and
# configure your subscribers configuration files below.
#name_servers=127.0.0.1


# Mirror the Debian package defaults for the below resolvers
# so that resolvconf integrates seemlessly.
dnsmasq_resolv=/var/run/dnsmasq/resolv.conf
pdnsd_conf=/etc/pdnsd.conf
unbound_conf=/etc/unbound/unbound.conf.d/resolvconf_resolvers.conf

From the unbound documentation unbound - Pi-hole documentation, I haven't changed anything in optional part. I am not as savvy and reading it now I didn't think I touched /etc/dhcpcd.conf. Here's tail end of that file(unchanged).

interface eth0
        static ip_address=10.0.0.100/24
        static routers=10.0.0.1
        static domain_name_servers=

I am sorry I haven't looked deep enough for problems similar to mine. I haven't tried any of the solutions advised on the post WARNING: Raspbian October 2021 release bullseye + unbound. If you don't need any more data, I want to try applying the solution - removing that one conf file and purging openresolv and installing resolvconf. (This is the gist of the thread, right?)

sudo grep -v '#\|^$' -R /etc/unbound/unbound.conf*

/etc/unbound/unbound.conf:include-toplevel: "/etc/unbound/unbound.conf.d/*.conf"
/etc/unbound/unbound.conf.d/root-auto-trust-anchor-file.conf:server:
/etc/unbound/unbound.conf.d/root-auto-trust-anchor-file.conf:    auto-trust-anchor-file: "/var/lib/unbound/root.key"
/etc/unbound/unbound.conf.d/pi-hole.conf:server:
/etc/unbound/unbound.conf.d/pi-hole.conf:    verbosity: 0
/etc/unbound/unbound.conf.d/pi-hole.conf:    interface: 127.0.0.1
/etc/unbound/unbound.conf.d/pi-hole.conf:    port: 5335
/etc/unbound/unbound.conf.d/pi-hole.conf:    do-ip4: yes
/etc/unbound/unbound.conf.d/pi-hole.conf:    do-udp: yes
/etc/unbound/unbound.conf.d/pi-hole.conf:    do-tcp: yes
/etc/unbound/unbound.conf.d/pi-hole.conf:    do-ip6: yes
/etc/unbound/unbound.conf.d/pi-hole.conf:    prefer-ip6: no
/etc/unbound/unbound.conf.d/pi-hole.conf:    root-hints: "/var/lib/unbound/root.hints"
/etc/unbound/unbound.conf.d/pi-hole.conf:    harden-glue: yes
/etc/unbound/unbound.conf.d/pi-hole.conf:    harden-dnssec-stripped: yes
/etc/unbound/unbound.conf.d/pi-hole.conf:    use-caps-for-id: no
/etc/unbound/unbound.conf.d/pi-hole.conf:    edns-buffer-size: 1232
/etc/unbound/unbound.conf.d/pi-hole.conf:    prefetch: yes
/etc/unbound/unbound.conf.d/pi-hole.conf:    num-threads: 1
/etc/unbound/unbound.conf.d/pi-hole.conf:    so-rcvbuf: 1m
/etc/unbound/unbound.conf.d/pi-hole.conf:    private-address: 192.168.0.0/16
/etc/unbound/unbound.conf.d/pi-hole.conf:    private-address: 169.254.0.0/16
/etc/unbound/unbound.conf.d/pi-hole.conf:    private-address: 172.16.0.0/12
/etc/unbound/unbound.conf.d/pi-hole.conf:    private-address: 10.0.0.0/8
/etc/unbound/unbound.conf.d/pi-hole.conf:    private-address: fd00::/8
/etc/unbound/unbound.conf.d/pi-hole.conf:    private-address: fe80::/10

I don't think I can config router to distribute pi-hole's IPv4 via DHCP. Its simply too old and feature lacking.