As a ux designer, I like this, especially as it solves the problem of dragging mobile elements below the fold or off the visible screen view.

One suggestion I'd love to try out- let the user select multiple elements at once, and reorder the selected elements in the hovering state using conventional drag and drop mechanics. This might add complexity or might be a much more convenient way to deal with lists!

Or, dragging the element selected should allow a user to manually ‘place’ the item on screen.

I wouldn’t use this on desktop, though! Mice typically allow you to scroll and drag pretty easily.