I, too, have been a Level 2 seller since my first year on Fiverr (2020), and never had a bad review. I feel you with this having stats qualified for Top-rated Seller, and now became a "New Seller", which should never sit right with us who really fought our way hard in the market to bring only the best.
Indeed, Fiverr must do something about this. I think they're not hearing their sellers enough and only focus on brining money in for them. I completely let the tipping part go, as sellers deserve 100% of the tip (instead, they get 20% more!), but this new level system? It's 100% nuts and should be revised again. It's unfair and really breaks the business of many sellers.