Well, PVP was working correctly for me yesterday, but as of today, all the yellow PVP fights I’m being offered are those trivial difficulty ones with like level 1-20 characters. The red counterattack fights seem to be working as expected.
I first saw this in today’s new PVP event (Terror in a Coat) but it’s also happening in the Class of 2016 event (where I was getting normal fights yesterday but now all the new ones are trivial). Trial by Fire seems to be working normally for now, but I only have like 4 hours left on that one anyway.