Is the IPad mini still supported

The latest version of iOS that the iPad Mini can accept is iOS 9.3.5. The current iOS version is iOS 10.3.1.

This (from the iPad User Guide) explains how to move your keyboard:

http://help.apple.com/ipad/10/#/iPad997da62f

The First Generation iPad Mini's last update was iOS 9.3.5 it has not received any update since, and likely will not any more.

The Keyboard in the middle of the screen is unrelated to an update.

Simply press and hold down the keyboard key on the bottom right corner of the keyboard and select Dock & Merge or simply Dock to put it back at the bottom of the screen.

How to split and move the keyboard on your iPad - Apple Support

We are not allowed to speculate in these Communities.

But historically, once Apple has stopped permitting an iOS update to be placed on a device, that decision has never reversed. And the iPad Mini has a 32-bit processor, while Apple announced it is dropping support for 32-bit applications very soon. So based on all this evidence, the handwriting is on the wall.

Hard to say. As long as the device does what you need it do, you probably won't need to get a new one.

When will it stop doing what you need it to do? Only you can answer that.

Consider 32 bits apps which are the type the Mini can run apparently will be removed from the app store in the not too distant future, and the fact the mini is 4 and a half years old at this point, it probably won't be more than a couple years at most before it will stop being able to get any Apps from the store, and any updates for the apps it already has too.

At that point you will have to decide whether it still works for you or not.