Atlassian Jira Cloud will scale up to cater for the number of users and the level of activity that they make. 160 users is well within the size of the solution (currently 10K on general access March 2021).
As you scale your solution up and implement more projects, sprints or introduce more users the solution will scale with you. Just be aware that if you do a sudden increase there may be a slight lag in that scaling taking effect.
Another aspect that can impact you is if you do a large import of issues as these can take some time to be fully indexed.
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