Shift-Click on Reply/Compose to switch from text to HTML (or HTML to text if HTML is your default) still works for me. If it doesn't for you, it's a bug.
Edit: Apparently I was wrong and the replacement "Smart Reply" button does show up, but only sometimes depending on context. Since Thunderbird only shows it selectively now, I did not see that when I was checking before.
So I withdraw my criticism about removing functionality, and I replace it with criticism of changing user settings during updates, replacing a well-established feature with a subtly different one, and hiding controls that are currently not applicable rather than showing them as disabled. The fact that this comment thread exists is a pretty good demonstration of why these are bad ideas.