I can't think of a single game that manages to have enemies correspond to your level rather than area or story progression actually contribute to the game. It just makes trying to get better gear ultimately a pointless task because the enemies get strong at the same rate so you might as well stay weak.
i thought it worked well in morrowind
enemies do scale to your level but only within a range (e.g. level 10-20 enemies might be spawned in a particular dungeon), so youre tending to get a more even challenge throughout but some areas are still only going to have really low levels enemies, and theres plenty of areas you cant realistically cant go until youre levelled up
but it works pretty well for a non-linear game so that you can dick around and do a range of questlines in varying orders, and not have almost everything over- or underlevelled while still having places that are appropriately scary and off-limits until later in the game (without physically barring the player from them)
and then they went and did the very worst fucking level scaling system anyone has ever seen in oblivion, with the bandits suddenly showing up in priceless daedric armour and everywhere just the same as everywhere else
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Which also works on a storytelling level because the more you play the game the stronger the main threat becomes.
That sounds fine, especially if it's mostly kept in dungeons.