Yeah, go for the hotel. Although Bali is a Consulate, and in theory Consulates should have lighter requirements, unfortunately they don't have a website with clear requirements, they are likely to follow Jakarta, and here's what Jakarta currently wants:
5. Evidence of confirmed accommodation in Thailand
- Hotel booking or
- Letter of sponsorship from the host (copy of the host's ID card, or passport and stay permit, proof of accomodation ownership)
**********************************************************************
*****
-Tourist-visa.html