It has been changed in the update, you will need to click and hold on either the up or down arrow then drag to where you want to place it.
It appeared that I need to press that down button in the block UI. I thought it’s a keyboard button “up” :facepalm:
It doesnt work as it should. Before I was able to put any block as a text to “media and text” block as real drag and drop. Now its impossible – moving up/down skip it, and moves block above or under the media and text.
Is the anyway now to bring back real drag and drop future?