I'm sure you can swap clusters in the e36. The gauges can be swapped too, though you'll have to pull the gauge needles carefully before you do that IIRC.
I found
this article (long read, seems like a common problem on the e36 M3) at Bimmerfest that points to broken wires in the steering column, broken wires in the trunk, the typical wet DME problem or corroded wiring in under the seats. There was also trouble from fuel senders that seem incompatible (you have two senders? Crazy Bavarians).
If you replace the cluster with a higher mileage cluster, it'll drop right in but you'll have the higher mileage. You can get a BMW dealer to synch them properly, but it'll likely be expensive.
I replaced a few capacitors in my old e34, but I suspect the e36 doesn't have that trouble. A few have tried to repair the clusters that way but I haven't seen a high rate of success.