is it possible that my fish has dropsy if just a small section of scales on his left side are sticking out, and there are no other scales elsewhere sticking out?
he is still active and very hungry, and doesnt appear sick besides the scales on his side.

Exactly how many scales are sticking out? What other fish are in your tank and what kind of ornaments do you have? If it's just a few scales, your fish may have rubbed up against an ornament or had a little run in with another fish. I'm honestly not sure if it's drospy because all the dropsy fish I've ever seen looked like pinecones--scales sticking out all over body. Keep a close eye on him and keep us posted. Good luck!