Is he BF or bottle fed? Either way, feeding every three hours at night sounds normal, even fairly good! He is fresh out of the womb, so is not going to have a scoobies as to whether its day or night - that comes later.
WRT poos, if you're breastfeeding, green is perhaps unusual. Keep one if his nappies to show your MW. Usual BF baby poo is orangey yellow. WRT number of bowel movements, anything goes at this stage - from one a week to three or four a day. Try to note down when he has a BM and discuss with your MW or GP.
WRT dummies - if you're BFing it's advised to leave dummies to about a month old so that your baby doesn't get nipple confusion.
Could he have a cold? If so, the grunting at night might be a bit of congestion. Slightly raising the basket/cot at the head end sounds like a good idea. If you're BFing, you can squirt a bit of milk up his nose - the enzymes in breastmilk will help break down the snot.
With regard to needing to be held - remember that until recently, he was 'held' 24/7. A sling will help as he gets more settled (which he inevitably will), but you might have to resign yourself to (literally) having your hands or lap full for a few weeks. Some babies sit and coo in their baskets between feeds - other yell to be held. It's nothing to do with 'doing it right/wrong' - it's just that they're all different. Don't stress about whether he's the same as other babies you may know - if you think he needs a cuddle, pick him up and cuddle him.
If he does have a dairy intolerance and you're breastfeeding, cutting dairy out of your diet will help. Have a look at www.kellymom.com for further advice.
To keep yourself sane, try to nap when he is napping (if ever), or ask your DP or a good friend to take him out in his pram for an hour during the afternoon so you can have a kip. Think Survival at this stage in the proceedings, not housework/gourmet meals/ social life.
Last of all, don't make the mistake of thinking that this motherhood lark comes easily to every one. I don't know one woman who hasn't struggled with the adjustment and grind of the early weeks and months. It will get better, you have to hang onto that. Crying is normal when your hormones are all over the place and you're sleep deprived. Don't beat yourself up - this is the hardest few weeks/ months that you'll have, and you will get through it, but don't be afraid to ask for help if you want it.