I have two maybe contradictory things to say about this. On the one hand, thinking all cgi looks fake is confirmation bias. There is so much cgi you don’t notice (cars for example, look incredibly real). But when you do, it’s because it’s bad.
On the other hand, I agree that 100% cgi characters look bad. I recently watched the latest Avengers and was amazed that with all the budget and years of experience they have, the Hulk looks terrible.
It’s a useful tool, but when it becomes the only tool it gets old. There’s a lot of charm to practical effects. Yeah I can tell that Yoda is just a puppet, but it works.