I agree with those who have said more LOTR/Star Wars level.

I think MOTU like those franchises is such a visual experience that raising the "epic" factor but retaining a recognizable aesthetic would just be brilliant. A certain degree of believable combat makes sense, but the real magic would be seeing Eternia come to life at the level Middle Earth did in LOTR. If the violence went too over the top I think it would start to detract from the experience.

Plus I do like the thought of kids being able to see it...being a parent now, it's so cool being able to share something like the Star Wars franchise together.