Did you've restarted Dovecot after changing the conf file?
Yes, few times.
What's in the logs? Maybe you need to enable mail_debug.
I've enabled now mail_debug, and looks like Dovecot doesn't see new index location:
Jun 11 12:36:16 dovecot: imap(e-mail@domain): Debug: maildir++: root=/var/vmail/domain/user, index=, control=, inbox=/var/vmail/domain/user
# dovecot -n | grep location mail_location = maildir:/var/vmail/%d/%u:INDEX=/media/ephemeral0/%u
What's the permission of /media?
Currently it's 777 and vmail:mail, which is a user for storing e-mails, but I tried with dovecot:dovecot which Dovecot daemon is running.
# ls -la /
drwxrwxrwx 3 vmail mail 4096 Apr 8 21:29 media
# ls -la /media
drwxrwsrwx 2 vmail mail 4096 Jun 11 11:41 ephemeral0
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