I love the discussion about how brutal the Mistlands are, as an older player I see large correspondence between this discussion and what happened in the game Ultima Online like 20 years ago.
UO was a totally brutal mmorpg, with player killing, full loot and a honour system to see who was killing players and who was "honourable" on the world of Felucca. It was highly frustrating but the thrill of a lifetime too. It was great!
Until loudly complaining players, mostly crafters and miners, reached the developers ear and the developers created a safe haven for the care bears, a parallel non pvp world called Trammel. That was precisely the end for UO for many players. It ripped the gaming community in two and the care bears never left their safe haven Trammel again and the more daring players left wandering around in a far less populated Felucca. Ripping the "danger" from the game killed it.
Fun part is, even many of the loudly complaining "Trammelites" quickly lost interest in the game.
The Mistlands is frustratingly difficult but no one forces you to enter it, let's hope it doesn't get nerved beyond repair.
Source: https://www.reddit.com/r/valheim/comments/zow4nd/mistland_looks_like_the_uo_trammel_versus_felucca/