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Do you mean editable area or text block?
Yes, that code should work in an Email Template. Keep testing it. Usually you have to put it all around the section.
If you are trying to use Segmentations and Dynamic Content, that is not how it is done. See the Dynamic Content Tutorial in University.
For editable text to work you need to make sure that each editable "section/segment" has a unique id otherwise they don't work. So in your example the first would be id="edit_text_1" and the second div would be id="edit_text_2".