I don't think Nvidia will drop below 800, yesterday dip was partially Caused by hotter than expected cpi data and almost every stock dipped but it recovered partially during trading hours. 

Intel in my view is in a similar situation compared to amd being late and trying to break into the market. Both will have their place but it will be important if they compete mainly on performance or cost. 

Both will undercut pricing as much as they can to gain market share with likely faster availability due to shorter order backlog and can be attractive for smaller companies in comparison to hyperscalers

Nvidia will still be the performance leader plus their strong software support will always sway buyers to go with them. For hyperscalers building large AI data centers the cost of high performance chips from Nvidia may be offset by needing less of them for same workloads. For those who want maximums computing power for the next step in AI which is building a real "world aware" AGI again it may be the preferred choice. 

Nvidia will face increasing price pressure from intel and amd (or other custom chip offerings) which will impact margins but overall the projected growth for AI is large hence increase in earnings will help offset this. 

I would not be surprised if Nvidia responds with cut down versions at cheaper price points in the future to combat intel and amd.