One way to conserve energy in cloud data centers is to transition idle servers into a power saving state during periods of low utilization. Dynamic virtual machine (VM) consolidation (VMC) algorithms are proposed to create idle times by periodically repacking VMs on the least number of physical machines (PMs). Existing works mostly apply VMC on top of centralized, hierarchical, or ring-based system topologies which result in poor scalability and/or packing efficiency with increasing number of PMs and VMs. In this paper, we propose a novel fully decentralized dynamic VMC schema based on an unstructured peer-to-peer (P2P) network of PMs. The proposed schema is validated using three well known VMC algorithms: First-Fit Decreasing (FFD), Sercon, V-MAN, and a novel migration-cost aware ACO-based algorithm. Extensive experiments performed on the Grid'5000 testbed show that once integrated in our fully decentralized VMC schema, traditional VMC algorithms achieve a global packing efficiency very close to a centralized system. Moreover, the system remains scalable with increasing number of PMs and VMs. Finally, the migration-cost aware ACO-based algorithm outperforms FFD and Sercon in the number of released PMs and requires less migrations than FFD and V-MAN.