I think the middle name is a good place to use some first name from inside the family. My middle name is my father's first name, my brother's middle name is the name of one of my mom's brothers. I'd likely do something along those lines. Really, the middle name is something only brought up at parties or in cases where it's really needed to distinguish an identity from a like-named person.
I like that as well, and I think it's the only reason I'd want to do a middle name for any hypothetical children of my own. If I ever had a daughter I'd probably want her middle name to be Marie, after a woman who has basically been like my grandmother.