You may cast Tempt with Vengeance with the Dwellers, but X has to be zero.
The converted mana cost (CMC) of an object is the total amount of mana in its mana cost, and X counts as zero outside the stack. When you determine the CMC of Tempt with Vengenace for the Dwellers, TwV is in the graveyard and has a CMC of 1.
202.3. The converted mana cost of an object is a number equal to the total amount of mana in its mana cost, regardless of color.
202.3d When calculating the converted mana cost of an object with an {X} in its mana cost, X is treated as 0 while the object is not on the stack, and X is treated as the number chosen for it while the object is on the stack.
So when the Dwellers' ability resolves, you do get to cast TwV. You get to choose a value for X, but the X isn't defined in the rules text, so X has to be chosen as zero.
107.3b If a player is casting a spell that has an {X} in its mana cost, the value of X isn’t defined by the text of that spell, and an effect lets that player cast that spell while paying neither its mana cost nor an alternative cost that includes X, then the only legal choice for X is 0. This doesn’t apply to effects that only reduce a cost, even if they reduce it to zero. See rule 601, “Casting Spells.”
Therefore, X has to zero when you cast TwV with the Dwellers' or similar effects.