You might need to update the license status in your ACP as there is a good chance it has not caught up with your recent renewal.
Try going to ACP > System > Settings > License Key
Click on the "Refresh License Data". While you're there, make sure the info there matches what is in your Client Area.
Once you've done, that, try the update again. Also when you're starting the auto-updater, make sure you providing the username/password of your client area. The auto-updater validates your client area credentials, not your ACP username/password. (You're already logged in there. haha)
If that does not work... you could always just download the latest IPB files from your client area and upload them to your site. Then just run domain.com/admin/upgrade. When you do that... it will ask for your ACP login!