Of course we can and have observed the density of the past universe. But most large scale studies have claimed that that the density of the past universe was the same, or was even less dense than the present universe, and was observably too-thin to produce the density of galaxies observed in the present universe, so that’s the problem.
Based upon many large-scale observation studies, the universe appears to have been too thin in the past to explain the expansion of space, the observed density of galaxies in the past, and the observed large scale structures of the universe to have formed, based upon gravity alone, within the limited time allowed by the Hubble distance formula, 13.8 billion years. These studies and facts seem to directly contradict the expansion of space and the Big Bang model (BB) as a whole.
Researchers have stated that not even the density of the past universe as proposed by BB cosmology, ignoring observations, could even have been dense enough based upon gravity theory alone, to have formed the plenitude and densities of galaxies and clusters now observed, within the Hubble restricted age of the universe, even with the inclusion of hypothetical dark matter some have stated. Some also consider this the biggest BB theory problem of them all. The problem is called the “Cosmic Tension.”
https://www.quantamagazine.org/a-new-cosmic-tension-the-universe-might-be-too-thin-20200908/
The present ongoing large scale study DESI involves about 900 astronomers world-wide is having a problem determining a Hubble constant, and has discounted dark energy as being indeterminable. Some claim compatibility with BB cosmology while others claim otherwise.
https://universemagazine.com/en/dark-energy-wanes-scientists-receive-contradictory-data-on-the-universes-most-mysterious-force/