The easiest workaround (until the resetcycle patch gets fixed up and applied) is to use the built-in “divisibleby” filter with forloop.counter:
{% for entry in blog.entries %}
<div class="{% if forloop.counter|divisibleby:2 %}even{% else %}odd{% endif %}" id="{{ entry.id }}">
{{ entry.text }}
</div>
{% endfor %}
A little more verbose, but not hard to understand and it works great.