When run every docker command AWS instance networking dies instantly?

Expected behavior

service docker start shoud start the process as usual
docker network ls should list the networks

Actual behavior

Every docker command drops the networking and the terminal freezes. Only reboot or stop/start runs the machine again.

Additional Information

This happened after added in docker-compose file:

      - /bin/sh
      - tail
      - -f
      - /var/log/syslog

For some reason this broke the entire machine and now I can’t even start docker despite removing this entrypoint.

Any idea how to fix this without reinstalling the whole thing. For reference, this does NOT work for me: What to do when all docker commands hang?