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Those prices would be really crazy, even if they're possible. That would mean the PS5 is about the same price as the PS4 launch adjusted for inflation. That's huge because the PS5 has a 4K Blu-ray drive and an SSD. And the Digital PS5 would be even cheaper than the launch PS4 both with and without inflation.
I think 499/599 is very possible. 449/549 is quite likely, or 399/499. I would be very surprised if its anything below 399/499.



Lifetime Sales Predictions 

Switch: 151 million (was 73, then 96, then 113 million, then 125 million, then 144 million)

PS5: 115 million (was 105 million) Xbox Series S/X: 57 million (was 60 million, then 67 million)

PS4: 120 mil (was 100 then 130 million, then 122 million) Xbox One: 51 mil (was 50 then 55 mil)

3DS: 75.5 mil (was 73, then 77 million)

"Let go your earthly tether, enter the void, empty and become wind." - Guru Laghima