It can definitely be said it comes down to personal preferences and individual mind states...
For me, knives are in the "cusp" of being "just tools"... If they were "just" tools we wouldn't need the inlays, and artistic designs incorporated into them. Just rugged useability... There are knives that are "just" tools others are more artistic (but albeit, still tools)...
I can't personally for the life of me imagine spending $1000+ on a knife. Because I can't afford to, and because I wouldn't be able to afford losing it, meaning I wouldn't carry it. I mean I don't even like to carry my $100+ knives out and about when there is a high risk of me losing them (as I mentioned before).. It's why I have <$40 alternatives.
Not that I'm worried about using them, or even breaking them (since I rarely use my knives outside of proper knife uses, and most reputable brands have decent warranties). But losing them is my biggest concern.
A similar comparison in "just tools" I can conjure up is craftsman vs snap-on, or Porter Cable vs. Hilti.
I would love to own more Snap-on and Hilti tools, but I own a whole lot more affordable (on my budget) craftsman and husky, porter cable and my top of the line stuff is Milwaukee, Makita, etc, with a Paslode framing gun and a Hilti chisel... I use 'em. However the "cusp" happens when i think, If I could afford a damascus wrench set, a custom ratchet with anodized titanium gear drive and contoured g10 handles, with designer two tone sockets that have fancy milled inlays, or a custom built one off reciprocal saw and/or nail gun with cf or cocobolo handle inlays, etc. would I even consider buying them, or using them?
Probably not... Those are "just" tools to me. I wouldn't even consider the "artistic" design behind them (even though a designer somewhere did design and engineer it). I also won't buy them from the bargain bin at Dollar General.
Knives are tools too, but once you leave the mass production realm, they are also very artistic expressions of the makers behind their designs, and as such can go either way, tool or art. It's why we all know several different designers by name, and all have our favorites, but probably nobody knows who Jerome Schnettler or Edward Ristow are, (I looked them up just for this post cuz I didn't know either), or who designed the Hilti wsr-1250-pe.
*On the flip side if I came across a vintage Milwaukee original sawzall with case, in mint condition, would I use it?
I love that Blues uses his $1000 rockstead, that's awesome to me to see one scuffed and used! And I'm happy for him that he's in a position both financially and mentally to do so...
I also love that someone else has one shiny and new in a case somewhere, pristine, and that's differently awesome... I'm happy for that person to be in a position to have acquired a knife they truly wanted to possess, (because at that price, you better really want it).
I love seeing a '70 gto judge on the road, and I love seeing them in a garage or museum.
In my current lifestyle, I wouldn't even consider buying a $1000 (production) knife, or a gto judge... But that's not to say I can't still appreciate them in both the used and the preserved states. It seems far too often people get caught in the either/or mentality; my way is right, your way not so much, but maybe, just maybe, provided no one is getting hurt in the process, everyone is right? Users AND collectors alike.