Everything in balance....
Why not do both. Where I train it is very hands on, very detail oriented, much like you described as the second "way" however we, more experienced students, are also encouraged to sometimes just go at one another and just move for a while. As long as both partners are in agreement this is a fine thing. Sometimes I might be in a class that is really focused in on some smaller details but will get with a really energetic partner and just slam one another around for a bit before we go back to the mental stuff. Both are useful, no need to stick to only one way.