Graceful degradation is less common for JavaScript now than it used to be though. So if you want a smooth web experience, these days you just can't go without JavaScript. I personally don't think that's a horrible thing, but I guess most people who've disabled JavaScript (or use Lynx or something) would disagree.
I think that if your site has a clear-cut function, you should at least try to provide that functionality even for bare-html browsers. Doesn't matter if it looks ugly, the focus is this case is on functionality not looks.
In fact, I can't think of a site I regularly visit that doesn't work without js, except for things clearly in the category of "web apps", like canvaspaint.org, where the idea of "browsing" them doesn't even necessarily make sense. Even gmail works without js!
I also use 'links' from a terminal on occasion. It's gotten increasingly hard to use, but mostly due to layout issues rather than js, afaict.
The problematic sites are going to be the middle ground - large-ish sites with reasonably competent web developers who have higher priorities than supporting the 1% of users who have JavaScript disabled.