I was wondering, since battles are considered finished even if you lose, then does that mean that you can progress through the whole game with a level 5 and just lose every battle? Because I just battled a trainer, lost, and I couldn't battle him again. He had a phrase as if he lost to me. I'm sure this is not how it works, so how does it work? Thanks.

u can rebattle trainers each week.. and u can gym leaders over and over, cause thats the real progress. the elite 4 can be u rebattle after a 24 hour wait.

soo to answer ur question, no u cannot go though the whole game with a level 5, not if u wanne beat the game.. u can battle normal trainers lose and pass them after.. but u wont get xp.. guess thats it :)