Conundrum. If General Relativity and Quantum Mechanics are both true then there are no “black holes”.
Thus the need for a Unified Theory of Everything...................
Certainly, but I think physicists realize that is a smaller issue than the fact that, without something theoretically like black holes, their entire model of cosmology ceases to be of any use in describing observed astronomical phenomena...
They don’t have to reconcile GR and quantum mechanics, in fact, they have gotten along quite well for decades without doing that. They do kind of need to have a model that at least seems to explain the movement of planets, galaxies, etc, consistently, even if that model relies on several obvious “fudge factors”.