i have an asus p5g41t-m lx3, which has a pcie 1.1 slot, and my video card is a sapphire 5670 ddr5, which is a pcie 2. also this happens, when a put a powercolor 5570ddr3(pcie2.1), my pc works smoothly.
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Yes you can use a PCIe 2.0 card in a PCIe 1.1 slot but just be aware that the bandwidth on the 1.1 will be limited compared to 2.0 so your card's performance may be limited a bit.
Such low end cards are not effected by the bandwidth. Even a 5870 is only 2% from 2.0 to 1.0 which is like a negligible 1fps.