Yes it can be - but it is also possible to stay and eat at a reasonable price if you are careful - check the menu before you enter and check if they slap on an extra cover charge and 12% service charge, as happened to us in one place. The trick is to walk a couple of streets away from the main tourist areas, which are St Marks Square and the Rialto. You don't have to walk far and you can find all inclusive tourist menus from about 15 euros.
Don't bother with a gondola, unless you really want to, at 73 euros for 50 minutes, it will make a hole in your budget. Instead get a day pass on the water busses for about 12 euros each and take the no 1 up the grand canal and back, sit outside for a fantastic view.
If your budget won't stretch to 100 euros for a water taxi, get a 10 euro ticket on the aligaluna and still arrive by boat, if a little slower. It was well worth it as Venice is so unlike anywhere else.