The choice between VPS hosting or dedicated server hosting is solely based on your e-commerce project if you are just starting the VPS is a good option to start. With it, you will have security, solid performance, and a scalable environment with a private virtual server at a low cost.
If you have high traffic and sales, then a dedicated server is definitely a rigth choice. As for a provider, you can go with one that guarantees solid uptime, support, and scalable resources with RAM/CPU/NVMe storage.