I was trying to set default python version to python3 in Ubuntu 16.04. By default it is python2 (2.7). I followed below steps :
As it says, update-alternatives --install needs
You have link (/usr/bin/python), name (python), and path (/usr/bin/python3), you're missing priority.
update-alternatives --help says:
is an integer; options with higher numbers have higher priority in automatic mode.
So just put a 100 or something at the end