You are only talking about the first reason which I already said is a matter of opinion.
And I agree with you here, what's going on here is simply Conte being butthurt about his sacking and for the first time being on the other end of being dumped at this level and he was further burnt by chelsea not only sacking him but talking of not paying him and getting all legal about it. It's all talk and power play from both ends, I haven't seen chelsea go to court yet and I'm sure Conte won't either (even though he's stubborn)
You also have to realise he's in EPl, a league where from the toilet cleaner to a reserve player to the best player to the manager, they invent stories out of nothing and make it seem like it's happening, especially when it comes to transfers. There was absolutely no fire to Madrid wanting Conte, hardly a couple of articles even by the pathetic journalism standards of EPL cocksuckers. There were always 4-5 coaches mentioned in Madrid's list and if Conte was mentioned he was last.
So yeah, as stubborn as Conte is I doubt he passed an opportunity to take a huge step up in his career and move to Madrid and instead chose to get into this ugly slugfest with Chelsea which would damage his reputation and career, no man who cares enough to get artificial hair would do that
So he's not completely nuts.