I think it is a good idea. But I also believe there is a need for two systems simultaneously; the first system is to visually separate items between level categories of 1-20(Heroic) and 21-40(Epic) levels. But also, in each of those level categories, there is a need to distinguish between common(grey), uncommon(green), rare(blue), Unique(purple), set item(gold), and legendary (Red?). So maybe have border colors to represent a rarity and border design heroic or epic levels.