Yes, you can use the DragAndDrop for dragging almost any control over an image. (You cannot drag controls that capture the mouse on MouseDown)
By design the DragAndDropManager makes no modifications to the Visual Tree at the end of the DragDrop operation.
So even if you the control is dragged "over" the image, it will not automatically be placed there.
I may add some suggestions once I know a bit more about your particular scenario.
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