It literally is a reference to the Japanese hobby of collecting bugs and making them fight each other, so yes?

https://en.wikipedia.org/wiki/Insect_fighting

I mean yeah, absolutely. But a child growing up in a western society is unlikely to encounter either of those. But generally I do see Pokemon as violent and I wouldn't let my 5 year old watch it quite yet. When he's a bit older I hope he enjoys playing through the original games and the OG tv show with me, but I see parents playing the TV show for their 4-5 year olds and I think that's just too young. Same with Spidey and friends and few other shows made "for children" which absolutely promote violence despite the colourful aesthetic.