docs: remove stale setup.sh refs in system-state.md

[mrveiss]

Problem

docs/system-state.md contains 8 references to the deleted setup.sh in runnable command blocks (lines 1081, 1103, 1120, 1347, 1352, 1361, 1519, 1768).

Suggested Fix

Update all references to point to install.sh or docker compose. Some sections may need broader rewrite since the setup model changed.

Discovered During

Code review of #2420 session.

[mrveiss]

Merged in PR #2464. Replaced 8 stale setup.sh refs in system-state.md.