Speaking from a TA point of view the simple answer is no in general putting all states into a single state machine would be restrictive as to triggering the “needed” state changes on "demand’. State machines are very good at changing animation states with in a sequence but does not help at all when a state change needs to occur as to on-demand triggers.
To give some idea if you throw a light switch and the light goes on the the result is based on an event that has already occurred as to the “context” of the purpose that the trigger serves. The problem with this migration pathway is it becomes more and more difficult to trigger the necessary state changes as the design becomes more and more complex. In other words the design pathway does scale if it scales at all and will at some point imploded.
To get a better idea where I’m heading consider the following as part of your design logic.
The ideals as to context based animation is the root of how things should work based on the game design and not on general theory as to how something should work as other options based on the design requirements needs to be take into consideration in the manner I hope is explained in the posted video.
So as to this
“state machine a bad way to do this?”
The quick and honest answer is yes it’s a bad design choice for many reasons that would turn my response into a book