I actually rely on the "jump" of the cursor to tell me where new-lines are, and that's important. (Consider something like a Python program, where the real line-ending will terminate a statement, and the next line's indentation is significant.)

If navigation behavior is to change, there must still be some way for the editor to show the wrapping points. One option is Unicode, which is now fairly well supported by editors and terminals; for instance, special symbols like "¬" could be used to show wrapping points.