I would have called the cops to intervene long before I would have paid him any amount over $50. Cops usually tend to side with the guy who is not out of control, yelling obscenities and acting like a jackass.

You both have the responsibility to keep clear of each other, you were both equally wrong, in my opinion, but his actions afterwards put him more in the wrong. And he didn't have to hit you for it to be assault, verbal threats are enough. You should have called a cop, maybe that alone would have sent him on his way, without your $250.