>>714369001Wuxia is more grounded. Basically Wuxia is more historical fiction with setting tied to Chinese historical event or time period. In Wuxia the power system is almost always "qi" and people who learn to manipulate their "qi". While the characters can do some superhuman stuffs with their martial art, there is still a hard limit on what possible.
Meanwhile Xianxia is closer to fantasy where the characters straight up use magic. The setting also a lot more fantastical with magic kingdoms that exist outside human realm.
Wuxia example: The Condor Hero (Wuxia) set during the rise of Genghis Khan with the characters regularly interact with historical figures of that period. In the novel, people can fly a short distance and heal wounds with their "qi'.
Xianxia example: while "Dance of the Sky Empire" set during the Tang period, it location is basically a fictional school where kids train to use magic. There are dragon gods and difference non-human clans. People in it of course straight up use magic, magic that can transform people into dragons, suck you into another dimension or illusion,...