It is generally true, but I can think of some caveats:
1) It won't work well with all uppercase letters, as it is the shapes of the words that are our cues. All-uppercase words are essentially rectangles.
AOCCDRNIG TO A RSCHEEARCH AT CMABRIDGE UINERVTISY, IT DEOSN'T MTTAER IN WAHT OREDR THE LTTEERS IN A WROD ARE, THE OLNY IPRMOETNT TIHNG IS TAHT FRIST AND LSAT LTTEER IS AT THE RGHIT PCLAE. THE RSET CAN BE A TOATL MSES AND YOU CAN SITLL RAED IT WOUTHIT PORBELM. TIHS IS BCUSEAE WE DO NOT RAED ERVEY LTETER BY IT SLEF BUT THE WROD AS A WLOHE.
Still doable, especially having already read it once, but not as easy.
2) Following from #1, distinctive letters that give the words their shape should be in or very near to their "normal" location. If you notice from the text you posted, most instances of i, t, d, l, p, g, h, etc. appear at or within one character position from normal. The last word, "wlohe" does not, but instead swaps the tall l and h to give the word the same overall shape.
3) This works when the words are in a meaningful sequence, because our minds have a good idea of the subset of words that can follow any other, given the context and our understanding of syntax. We can further narrow it down by shape, and finally by letter, especially first and last. Out of context, these become anagrams, and suddenly rather more difficult to decipher.