Wild camping is allowed on all public land. If you are in a small town, just get yourself outside of it and set up your tent next to a body of water or in the woods. There is a very low chance that someone might give you a hard time, but it is highly unlikely. Be sure to clean up after yourself. The ability to wild camp with a lot of flexibility reduces the stress associated with hitchhiking. If you do not make your goal destination, its not a big deal, just set up your tent off the road 10 to 20 meters and camp out for the night.
Early morning camp
Paid Camping sites
There are a number of paid camping sites found through out the country, normally costing anywhere from $3-9 USD per person per night. They might have showers, but usually only with cold water. No reservations needed.
Hostels are one of the cheapest options for sleeping in a city or large town, but are quite expensive by South American standards. A dorm bed can cost anywhere from $14 to $20 USD per night. They all have public kitchens for guests to use for no additional cost. WiFi is usually free.
Smaller towns in Chilean Patagonia normally do not have hostels, but they do have hospedajes which are guest houses. Usually they only have private rooms, and cost $18+ USD per night. Breakfast might be included. WiFi is usually free.