Muppet who lives in a trash can

OSCAR

This grumpy green character loves garbage and often argues with Big Bird.

The clue refers to Oscar the Grouch, a well-known Muppet character from Sesame Street who famously lives in a trash can. The answer is straightforward since "Oscar" is the name of this grumpy, green Muppet. There’s no wordplay here—it’s a direct reference to a beloved pop culture figure. If you’re familiar with Sesame Street, this one should be easy to spot.