Can I use 12-2 wire on a 20amp breaker to power an entire bathroom?

I have a half bathroom I was going to power with a dedicated 20 amp circuit breaker.

I was going to use the 20 amp breaker to power:

• vanity light
• shelf light (Phillips hue light strip)
• outlet
• bathroom fan

I was curious if this is frowned upon or even allowed? More specifically if using 12-2 to power my vanity light, and light strips is unsafe or “too much power”

I was under the impression 14-2 is typically used to power these sort of things so I was unsure what is preferable and safe.

Any help would be appreciated