Harry really does think that Draco could not forgive him if he were to discover the truth. Better to think he has a stupid or unfaithful lover than someone who doesn't exist. So while I think Harry running away from himself is a definite motivation, it's not a conscious one.

And Harry is fairly confident he knows his own sexual preferences. What panicked him was showing them to Draco.

And I think that the interpretations are certainly valid ones. My problem is that, other than from the perspective of plot- I know what the scenes I write are doing to advance the story- I tend to regard what's happenings from the characters' viewpoints. So I do understand what they're thinking, but it makes it very hard to be objective.