Eh, my experience is that no genre is bad by definition, its the handling that makes it good or bad.
Case in point: this quest. This is, in all honestly, pure xianxia, not a deconstruction or a mix. Its just better written, has an actual interesting setting, has people with unique personalities (rather than having 4 personalities shared by every character "mom, its my turn on the personality" style), makes the important fights tense rather than curbstompfests or deus ex machina fests, has the characters have some sort of behavioural code other than "edgy masked as cynically rational", "naive" and "young lord", has actual character growth along with the cultivation, has a philosophy and setting of rules that really matter rather than existing just so the protagonist can break them, has more than one culture, has actual stakes for the world at large, has actual ideological conflictmakes the protagonist not be the obvious best human in existence but rather just another talented person that COULD become the best human in existence, ... but will almost certainly not be ...
Really, none of the things that make this xianxia amazing is genre defying , its just better writing. It has kept everything actually genre defining, its just that when it says cultivation is philosophical it means it, when it gives you rules they matter and the setting had more than 2 seconds of thought put behind it (probably much, much more, but I am using the average xianxia setting for comparison). All the actual staples, be it cultivation as enlightened superpowers, a system ruled by clans and sects which represent superpowered groups, a tiered system of power where power increases expontentially, a world and timescales that are absurdly large compared to ours and even less important staples like spirit beasts and formations and face culture are all here. Sure, some of those were toned down, the world is smaller, the power levels have an end point, lifespan ends at 1000 years, nobody is planet busting not even Ancestors, face culture here resembles something sane people would have rather than actual toddlers... but that doesn't really make it less of the genre, it still kept all those things and incorporated them heavily in the story.