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I think it is probably a good move by Instagram. I don't personally care too much about likes now, but I was conscious of that sort of stuff when I was younger (Facebook though - Instagram wasn't around (or big) during my early teens). In saying that, I have some friends that will actually delete a post if it doesn't receive enough likes...
I think it'll be interesting to see what happens with the display of an account's followers in future. I'm curious about this because people are pretty conscious about the number of followers they have on Instagram... probably more-so than the amount of likes on their pictures? I think?
Also, I believe there are companies out there that you can pay to like your photos and follow you. I'm guessing they aren't too happy about this change.. haha. I'm personally happy that people won't be spending any more money on paying for Instagram likes now though