If they do cancel the flight, they will probably suggest to move you to a different flight (with the option of cancelling if that does not suit you) rather than just cancel without any options.
If they don't, or if the options they suggest do not match your needs, get the refund, and book a different flight.
If no flights suit you (or they are too expensive), you may consider the train, though it's quite long to get to Copenhagen from Switzerland.
If all else fails and you can't/won't go at all, check if the hotel doesn't still have Covid-related policies which actually let you cancel or change your booking.
The last resort would be to use any travel insurance you may have, either explicitly (bought separately or at the time you booked either the flight or the hotel) or implicitly (as part of the services of your credit card for instance).
Depending on when they cancel the flight/your ticket (if they do), you may be eligible for compensation of 250 €, though they will probably try to argue that these are somehow extraordinary circumstances.