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Sourcetree authentication is a mess

Hello I need help

I've been trying to just setup repo and push it to remote for a small project. I used the new app password authentication, by creating the password with the privilages and then editing my bitbucket account authentication to basic from OAuthy and using that password. For some reason though GUI still doesn't work at all.

I can't push, pull, fetch, nothing from the GUI level but I can from terminal. However whenever I do I have to give the app password and considering it's shown  only once it's not what how it's supposed to be used right?

Also for some reason despite having setup HTTP authentication it keeps bringing up dialog window to enter SSH private key password when I open Sourcetree.

To top it all my friend has OAuthy setup on his PC and everything works fine like it used to before the changes. What spaghetti code is behind all this and how can I fix it on my end?

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