Yes, it's still an issue with version 1.17.2. After hitting the Update button, a pop-up appears saying "Do you want to download the last compatible version?". Once I hit the Download button, the pop-up disappears for a second and appears again with the same message. It stays in an endless loop and doesn't download the update.
I've added the steps to reproduce it and both observed and expected results.
Unistalling the older version before applying the 1.17.2 upgrade works as a workaround.