It is not an impossible dream and you can come very close if not surpass your wildest dreams. It will cost a bit of real estate and the equipment required can be found at decent prices, but will not be cheap.
First how important is flat frequency response? We are extremely sensitive to frequency response linearity, but interestingly we can also be very accommodating. We can listen to a tiny transistor radio and still recognize it as music. We mentally "equalize" sounds that are not quite linear and hear them as we believe the sound should be. This is how speakers like the Klipsch LaScala or the Altec A7 can be cherished by some... these two speakers and many, many others will do exactly what you want. Others are more linear, but after a bit of listening we usually discount the importance of linearity.
A speaker like the JBL Everest II, the DD67000 has a similar large and powerful sound as the Klipsch and Altec but is far more accurate (linear) and can really bring a concert into your home. There are others as well and the better pro audio equipment (PA and some studio monitor type speakers) will also do this.
All of the speakers I have mentioned are high sensitivity speakers with a lack of low bass output and they are all large. Subwoofers can mitigate the lack of VLF reproduction, but these are still large speakers. I have not found really small speakers even if they can produce very high SPLs able to create the type of sound you are describing.
In my home theater I have Meyer Sound Ultra X-20s which are 7.5" by 19" high and can put out over 123dB at a one meter playing pink noise... insanely powerful in the home context, yet they do not reproduce a full orchestra or Grateful Dead concert as believably as the larger speakers I mentioned earlier. In my application the lack of scale is made up for by their being part of a surround system... the nature of surround fills in the blanks.
If you want a two channel system that really convinces you that you are at the concert, you will need a room that can accommodate a pair of fairly large speakers, you may want to add DSP to correct the gross FR nonlinearities and you will want to either sound proof the room or be away from others who may not share your musical taste.