It's kind of hard to judge without actually having a photo but whatever you do, don't go 3. You don't want to have a shaved head, it just lets other things about you show more... Which obviously works for a tall, muscular guy and doesn't for a vast majority of men.
As far as the longer hair thing goes... Seems to me that it really isn't too common these days, people mostly abandoned it. Or maybe I am just among a different kind of people. I just abandoned a haircut like that after almost 4 years. Seems weird to suddenly have like 1 inch hair, nothing on my ears etc... But it sure is comfortable.
So I would go 2. As far as the beard, I would just shave it all off tbh.