However, that's pretty much the only way to use smithing at all. If using smithing at all is unbalancing, there is a legitimate complaint that Bethesda didn't quite properly balance the game.
There's a difference between sitting in town and using Wait to keep restocking the vendors with iron bars, and powerleveling your Smithing to 100 before you even do anything around Whiterun; and leveling Smithing at a more "natural" rate.... like, I've been doing Smithing as I've found the materials. I'm a bit above 50 Smithing at level 30.
I also haven't done multiple rounds of recursive Alchemy bonus->Enchanting bonus->Smithing bonus, to build up sets of 100%+ to the effect of each craft, then combining all of those to make god-level gear.
Just like making 100% chameleon suits in Oblivion - nothing's forcing you to take excessive advantage of the extremes of the skills and their combinations. If your personality "forces" you to constantly min-max in the extreme, even when you don't enjoy it? That's your problem, not the game's.