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NEVER close a dispute until you have a cleared refund OR your item.
No seller should ask you to do that, if they refund you then it would close automatically if you had to close it for them to refund you then it would be pointless having the dispute process in the first place.
If you close it then they can just ignore you and you can't open another one.
Escalate the dispute to a claim for paypal to sort for you.