Is the meaning of the Hadith Qudsi, "I am as My servant expects Me to be," that the servant's treatment is based on their expectation of Allah regarding mercy or punishment, and how can one balance the application of this Hadith?

Having a good opinion of Allah is a sublime spiritual act of worship, meaning the belief in what is befitting of Allah regarding His names, attributes, and actions, and the consequences they entail, such as His mercy, forgiveness, and acceptance of acts of obedience. However, a good opinion cannot coexist with abandoning duties or committing sins; that would be blameworthy delusion and a feeling of security from Allah's plan. A good opinion is present when a servant performs acts of obedience, being certain that Allah will accept them and reward for them, and during calamities and at the time of death, when one expects forgiveness and mercy from Allah.