Please uninstall the Appium from your MAC and retry these steps
Capabilities:
capabilities.setCapability("automationName", "XCUITest");
capabilities.setCapability("platformVersion", "10.1");
capabilities.setCapability("xcodeConfigFile",“/path/to/Configfile.xcconfig");
Installation:
Ios-deploy: brew install ios-deploy
Carthage: brew install carthage
Install Appium : npm install -g appium
Dependencies:
cd /usr/local/lib/node_modules/appium/node_modules/appium-xcuitest-driver/WebDriverAgent/
/bin/bash Scripts/bootstrap.sh -d
Change the Xcode Version to XCODE 8 : sudo xcode-select --switch /path/to/Xcode.app/ (incase you have more than one xcode installed)`