I am interested to know whether it is possible on digital ocean to do a setup where just the load balancer and the one node runs and only if the one node is experiencing a high demand then the other node is started up.
Basically so there is not a need to pay for both nodes all the time when one will be fine, but then when its gets busy the other one helps out.
Not sure if this is possible
Any advice will be appreciated.
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you can simply use DO API. we have some example configs here: https://github.com/magenx/Digitalocean-Auto-Scaling-Droplets-Auto-Scale-DIY
the idea is to check the load on master droplet and start new droplet if load is too high. configure it, rsync files and inject ip into load balancer.
This tutorial might be what you are looking for, this way your not paying for unused resources.