No. It should become a value > 5.

If you need consecutive numbers, you should not use IDENTITY. The point with IDENTITY and sequences is that they are non-blocking. That is, one process can get a number although another process that just took a number has not yet committed. This also means that there can be gaps if there is a rollback. And in some cases there can be bigger gaps. Which is perfectly OK, and it is completely beyond me why Microsoft wasted time on this trace flag.