Yes, that's EXACTLY it.
That he's there physically seems to me a mere technicality, as the most significant thing he does in the episode is not physical. That the Valar (other than Ulmo) act at all in this part of the story is a much bigger issue, but one the hosts have not been swayed from.Hmm...
But how can i explain? I guess it is my main trouble if Olorin is present physically, that is: Gandalf was there in Beleriand, before the Host of the west, before Earendil.
Making Olorin the messenger makes the identity of the sender ambiguous. So we don't know whose idea this or how Olorin got "permission ".The Valar outside of Ulmo don’t seem to want anybody coming back to Valinor; they hide it, put up a spell of eternal sleep. Nobody comes the other way after the Noldor until the War of Wrath; how does Olorin gain permission from the Valar to go to Beleriand? Also, the nature of the dream conversation, maybe something that harkens to Avatar Roku’s conversations with Aang?