I play survival around 2-3 hours on a daily basis. 

And I have noticed some insane lag spikes, usually around 1-2 PM GMT+1.

This makes it so that

1. Not hit any mobs/players
2. Blocks don't drop
3. Game-freezes (occasional)

This is becoming a problem, and I think that could be why they're doing the reset.

Usually it doesn't happen EVERY day but once every 3 days? It could be because survival holds 600GB of storage.