The distinction I tend to make is between physical using the classical definition of physics (where everything is made of particles basically) and the quantum mechanical physics which defies “physical” in the classical sense. So far we’ve only been able to scientifically witness quantum physics in small particles, but as you say, there’s no reason it can’t apply at a macro scale, just… we don’t know how to witness it, if possible.
it doesn’t require an observer to collapse the wave function
Or maybe it does? The explanation I have for us being unable to apply the experiments at a larger scale is that as we scale things up, it becomes harder and harder to avoid accidental observation that would taint the experiment. But that’s really no more than a hunch/gut feeling. I would have no idea how to prove that 😅