is Etienne for 1.01 (or possibly 1.02 since I don't see a big difference) still such a great deal for someone who is very heavy on the contender side, or would that put a dent in people's opinions of that past trade? Which likely your input says "yes".
Short answer as you properly surmised, yes. I'd make that trade no matter where my team stood with regards to contending.
Short answer part two: Tiny sample size but in FFPC redrafts, which I use just because it's real money leagues with ADP data, Marvin Harrison is being selected over ETN in a format you got to start two RB's and two WR's. Obviously 1.1 is more flexible then MHJ right now so this is not really about MHJ vs ETN, but just pointing a school of thought does exist that you are making your team better right now.
Longer answer.
You got two categories of contenders IMO. Contenders and "win now contenders" with the difference in them being the "win now" it's imperative to actually win now since they are about to age out, they can't afford to blow a year. I got 8 teams, got zero doubt I'll have some letdowns, but right now view all 8 as having pieces to legit be labeled as a contender-no full on rebuilds, with one of them being a "win now" team where I can't afford to blow a year when my core players include Tyreek, Kelce and Kamara. I'd still do that trade without hesitation in that league. In your case I view your team as a contender but not one that must win now plus you got depth, all of which makes this being something you should do IMO easier if you can. I think a move like this just keeps the window open longer, does not shut it.
And the actual league I did the trade was honestly with not an ounce of exaggeration the one team of mine I could least afford to give up a RB. I'm a little heavily weighted on WR/TE and the flex options they provide. It's TEP and if I was putting in a lineup today I'd have some solid guys like Kittle and Devonta Smith on my bench while I'd have Jaleel McClaughlin as my current RB2. I got some draft picks and stuff to work with to improve but you get the idea, from a position standpoint the trade made zero sense for me, probably does not offer me the best possible lineup as things look right now. I know you mention a lot about how your league really values RB's and this league does as well, it's why I think the trade came to me because the guy who made me the offer has some really strong WR's but was staring at Devin Singletary as his RB2. Now I'm kind of in his boat. It was all enough to make me take about 10-15 seconds to consider if I could do this and still contend, so not a smash accept but pretty close and I can honestly say I've had no remorse.