We've spoken about making more dungeons briefly, so it's possible! Personally I find a project like this exhausting and whatever my intentions I find I don't come back it. But I can't speak for the team.
As you mentioned and some other people have pointed out, this level might be too much for some people? It might be interesting to see quicker levels with the same trap density, or larger easier levels, or a checkpoint system.
We have some traps ready that didn't make it to the final build (flamethrower!) We'll likely put it in the existing level after the jam.