Isn't the reverse also true?
If people are throwing moves out recklessly without fear of punishment, wouldn't that be an indicator that you're the one not maximising damage? Going by some of the logic in this thread, higher health would train your offence?
Mixups do not raise the skill ceiling. Spacing does.
If you look at any decent competitive 3D fighter, the ones that get killed the fastest are the ones where spacing is made irrelevant or butchered. The large health bar makes spacing in DOA ultimately irrelevant, because most of the damage comes from the mixup afterwards. SCV had a wonderful spacing game and was very competitive until the second patch gutted the spacing game entirely, and replaced it with point-blank mixups to cater to newer players who had no interest in actually playing the game longterm.
Then you have tekken, sitting on top as the most competitive 3d fighter, and guess what its all about? Spacing. The healthbars are balanced around the spacing game, too, and it's where the game rewards you the most. That makes the skill ceiling for the game very high, and it's what keeps people playing it.
Even in something like League of Legends, most of what is going on in the game is spacing/zoning, whether or not the casual realizes it, and it is what makes the gameplay so addicting for most people. It's having full freedom and control of your character decide who wins and loses, not tying two people next to each other and forcing them to gamble each other to death.
if you do everything in your power to make the addicting part of the game irrelevant, then it becomes irrelevant... and the game is no longer addicting.