I have a Power Mac G5 Dual 1.8 with 3.5GB of ram running 10.5.8
The system feels so slow though.. :(
Taking in mind that this was a beast back then, which would be the best OS X version I could install on it, in order to make it breathe again?
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You may want to give Mac OS X 10.4.11 a try.
You're running the Latest and Last version of OS X that is supported on Power PC architecture. Snow Leopard and Lion both require an Intel Chipset. I'd suggest making a new user account and see if that makes any difference. Many preferences and settings are set per user and this can fix some problems. Also buy some more ram. It will help a lot.