Yeah the 24" will be good for lots of people. I'm surprised they didn't announce a whole range of iMacs together, including 27" and maybe even 30" models.My M1 MBP replaced my ageing (2008) 24" iMac.
I'm perfectly ok with the size, so it suits me.
I hope you get what you're hoping comes to fruition.
Having said that, I wonder if they are holding back on screen size because they don't want to cannabalise the Mac Pro and any potential new display they are working on (say a 30" normal display, not the XDR display) that would go with the Mac Mini.