One thing I learned trading and navigating crypto markets, is that a $0 price type of collapse is not possible with a scarce token. If Bitcoin goes to 0, then anyone can buy all the possibly available bitcoins and then decide what the price will be later on. This makes it impossible for the price to reach 0 unless the protocol is hacked.

A 90-95% decline from the height could safely be considered a total collapse. Some people who got in early will still remain in the green after a total collapse.

Yea, for all we know it could be a temporary correction, just to shoot up further next month. I think it's too early to speak of a 'collapse'.