Do you think it will be healthy to continue being around someone you know you are developing feelings for yet you know is incapable of returning those feelings? That is basically what you've described.

I think your instincts on this are dead on. You know that by continuing to be around or otherwise communicate with him that you are encouraging the feelings that you have for him, which he cannot return. I would distance myself. If you aren't able to manage and set aside any romantic feelings easily and maintain a platonic friendship, then distance is a good instinct to follow.

You seem to have a lot of insight into your behavior and feelings and what will be good for you or not good for you. I'd follow that insight. And I agree that now is a time to focus your time with loved ones. Hope this helps.