However in order to get there, you need to know why you need the ''hottest_temparature_last_three_days''. Why not 2 or 4 days? Why not using heating degree day? What about serial correlation with other regions, or metering disfunction? What if you are working directly with raw data from instruments, and still need to choose wich cleaning method you will use? What if you want to check the correlation with another dataset which is not yet in your database (ex: private dataset in excel from a potential vendor)?
If you know exactly what you want, sure SQL is the way to go. However the first step of a data project is to admit that you dont know what you want. You will perform a litterature review and might have a general idea, but starting with a precise solution in mind is a receipe for failure. This is why you could need to fetch all the data and then form results with another tool. How do you even know which factors and features must be extracted before doing some exploration?
If you know the process you need and only care about RAM-CPU optimization, sure SQL is the way to go. Your project is an ETL and your have the job of a programmer who is coding a report. There is no ''data analysis'' there...