A lot of differences exist between modern English and Middle English. Do not state the obvious, but instead delve into the interesting. For example, double negatives were perfectly acceptable in Middle English whereas they are inappropriate in modern English. Look for other examples of how the English language has changed. You could compare poetry written in Middle English to poetry written in modern English. Take one prominent poem written in Middle English and one prominent poem written in modern English, and look at the poetic devices used in each.
If your university has a historical research center, you could try taking on the task of editing historical works. Often universities will have editing internships for which you will learn the ropes of editing historical documents and converting them to files that can be viewed by people on the Internet. If your school does not offer an editing internship, ask your advisor if conducting an independent study on works from the historical research center would be possible.
If your passion is for creative writing, there is likely no better project than a creative writing project. If you are interested in poetry, write a series of poems for your portfolio. If you love short stories, you can work on writing a series of short stories, or you could even focus on perfecting just one story. Your imagination is the limit for what you can do with a creative writing project. A mentor who can offer constructive criticism on your creative writing project will help.
A common approach to an English undergraduate novel is to research and expand on issues in a classic novel. Cultural issues abound in the classics. Researching cultural issues in a novel will open a new world to you as you explore the microcosm of a world created by the author. Often a novel reflects the times the author lives in. For example, look at a novel like Jane Eyre and research the restrictions placed on women during the Victorian Era and how that manifests in the novel. Pick your favorite novel, and explore the issues within it.