Buffy's Spike: Death as redemption

For most stories, when you have an evil or otherwise irredeemable character, death is the only form of satisfactory redemption. Anything less is simply not convincing for most audiences.

I'm sure a lot of people can write novels on Spike's character arcs, but I just wanted to discuss a little bit of his redemption arc.

Interestingly, his sacrifice at the end of Buffy season 7, is the beginning of his actual character. Sure, he's helped out Buffy before that, but he was far from "the greater good" until then. So death, and boom - character redeemed.

So how's the redemption arc when he's brought back in Angel. It's harder now because now he's up and walking and possibility doing things that negate his redemption. He now has to live the life he supposedly wanted to when he made his sacrifice.

Not saying that's what happened, but I think the writers went out of their way to show this.

(Going off memory now, so please feel free to correct me, if I get any details wrong...)

Not long after he's ghost-Spike, he starts feeling like he's pulled to "Hell", and develops a friendship with Fred, who ultimately saves him from that fate. This establishes his "goodness" for the rest of Angel.

Thoughts? Other characters that share something similar you want to talk about? How would Spike feel without this episode? Anyone just want to gush about Spike in general?