I do have plenty ICloud space but iphone still without storage. Also, I have been used my hotmail email for appleID and is the one that I want to keep. But when I change my phone a couple of year ago the lady that helping me at store use my gmail account and since that moment has been complicated all.
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When changing to the hotmail ID, there may be some data loss, but you can minimize it. If syncing photos with iCloud, ensure Optimization is turned off in Settings/Your Name/iCloud/Photos and/or in Photos/Preferences/iCloud. Then make sure full resolution photos are on the device/computer. When signing out of iCloud, if asked whether you want to retain data, choose yes. Messages conversations will be lost if they are addressed to the ID. See the article below for other places that the old ID should be removed. See Winston Churchill's response in the below discussion. If possible, also set up Family Sharing between the IDs to keep access to your apps/purchases.
How to switch Apple IDs on your iPhone or iPad.
How to transfer all files from one iCloud account to another.
What to do after you change your Apple ID or password - Apple Support.
For the space problem'
What's the difference between device storage and iCloud storage?
See if anything here helps.
Disk space - How to check the storage on your iPhone, iPad, and iPod touch.
I do have plenty iCloud space but iPhone still without storage
