Repeatedly disconnecting and reconnecting on Quest 3 will eat all RAM

[EdLovecraft]

Disconnect, connect, disconnect, connect—repeating endlessly. The amount of RAM used will steadily increase until out of memory, at which point the ALVR will be automatically terminated

[Ari-43]

I know someone who experienced a similar issue. Try the latest nightly ALVR server build. You'll also need to use the nightly ALVR client or you'll experience other issues.