I'm only at a Private rank on my wizard101 account, with only about 10 overall matches played, and I keep getting matched up with people who have played hundreds of matches and who are of way higher rank than me. I believe that Wizard101 will never fully fix this match making issue since it has been in the game since launch.
It is actually very exaggerated right now because of the lack of people doing pvp, at some point the matchmaking system will just give you any opponent it sees
So what we need is more people in PvP, whatever you can do personally to foster a better environment in the Arena can only help our cause, let us hope that KI can also do their part!
The matcher giving a newbie a 900+ ranked opponent isn't the answer.
You want more people in PvP? Stop putting the new people up against the grand master "I have a Level 9 but I have 12+ pip spells." They might stick around a little longer.