It means you can enter some GAs that lower level people can't. And those higher level GAs will, on average, have fewer people entering because fewer people can.

That doesn't mean you should never enter lower level GAs. I'll enter for a game on my wishlist no matter what level, no matter what the odds are. But I will also hunt for the half decent games that have good odds.

But I'd never enter for a game I don't want to play. I have a couple of thousand titles on my Hide list. Let someone who wants those win 'em.