I don't think he will retire just yet. I can see that he still feels like a young boxer even today and even had the guts to challenge Moloney for the WBC title. But I guess both boxers are trying to go the easy way to take the belt. Moloney dodges the fight or it's Donaire, it doesn't matter but I do believe these two will try to meet to unite the belts.
We are speculating again, of course. He will not retire, as he has not mentioned retirement yet. Though his age is considered old but the way he fights shows he still has the heart of a champion. His upcoming fight will prove the doubters wrong. It may not be against a major challenger, but a good win will always attract the attention of the crowd. Therefore, I'm optimistic that he'll win via knockout.