The "move here" thing for me was confusing.
When showing near the folders, was the "move here" between folder 1 and folder 2 supposed to mean move the files into folder 1, folder 2, or literally just display the selected between the two folders? It was not clear to me.
I think this could benefit from tweaking the "move here" thing to be closer to the thing that it relates to (classic UX issue/design approach)