Yes, this is true. At least for a few months. And we get to enjoy (some) Summer.
I see a lot of multicollinearity in there
There are simply 2 reasons that contribute to Level 3 being the toughest exam, in my opinion.
1. In Level 2, you are simply competing against a pool of candidates that got through the easiest CFA exam; in Level 3 you are competing against a group that got through a relatively difficult exam
2. Even if the material at Level 2 was more difficult to grasp (I do believe this to be true), whatever that margin of more difficulty is, pales in comparison to the additional difficulty of remembering concepts learned from thin air, ie. with no help/life-line of having the correct answer right below the question, disguised between 2 wrong answers.
In my opinion, there’s no getting around either of those 2 points - Level 3 is definitely a more difficult exam that requires a different level of preparation.