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I never noticed that my Steam level had increased noticeably due to any free stuff from Steam. It's also a mystery to me why you can only use these big chat stickers in chat and not in comments, for example or on my own steam profile page. Well, that bit of free stuff on Steam... These people want us to spend as much real money as possible to buy something, or however that works, just to increase our Steam level. I find it shocking how many (young?!) people there are who join in and allow themselves to be manipulated and spend so much money for nothing. Yes, I would like to have a higher Steam level than 40. Yeah, now that all my friends have a much higher one, haha. But that doesn't make me stupid. So no wonder if Steam would abolish these badges...
I usually only make 1 seasonal badge with the cards which most of the time is from doing other badges that got paid from selling cards and whatever spare change I had after the end of the season.
This year they got rid of the free cards in the discovery queue which on one hand increase the value of the cards making it so the cards wouldn't immediately drop below 0.05€ (seasonal cards are now 0.10€+).
Me I just gave up of doing more than 1 seasonal badge, and I usually get a nice pile of cards which allows me to do it before I even spent a dime in the sale.