Cycling with damsels is not necessary. If they live, you then have to catch them and remove them which is a pain. Crushed coral presents it's own challenges, particularly keeping it clean. It's coarse, so uneaten food and waste get's trapped which can compromise your water. You'll need a clean up crew, or a good siphon to regularly vacuum it. Personally, while the tank is still so young, I'd swap out the crushed coral for sand, but that's me. No maintainance.
For fish, you could do the eel, a dwarf lion, one of the hamlets and maybe a big maroon clown. It would still be an "aggressive" tank, but the fish are compatable and won't outgrow the tank. There are other choices as well. Try to stock lightly. Add fish a few weeks apart and stay on top of your water changes, testing parameters regularly (or have your fish store do it at least until you get comfortable).