>>723644903
Yes. His death was important, because returning to the cycle of Samsara is the goal. That's what makes Star Wars Wuxia.
Actual physical immortality is the goal in Xianxia, and nobody except maybe some of the EU Dark Side characters cares about that. There's further connotations to it. Physical immortality is something that is ethically wrong. Without entering the cycle of death and rebirth, one doesn't cleanse negative karma, and under traditional thought, negative karma will accumulate and create a monster. Sekiro is a great example of what I mean here.
Xianxia either glosses over that or actively leans into it, because it's a more amoral genre compared to Wuxia which has traditionally heroic protagonists. In essence you could call Heroic Fantasy the western equivalent of Wuxia, and Dark Fantasy the equivalent of Xianxia.