According to Osho, when you feel 'I am dissolving,' the ego actually dissolves, because the sense of 'I' is only a feeling—not an objective reality. Unlike a house, which won’t vanish by feeling, the 'I' can be erased by its opposite feeling. Hence "false" spiritual methods (samadhi, imaginative cutting) effectively undo the "false" illness of ego.
Because the 'me' is just a feeling, if you truly feel it melting, it melts—unlike real things outside you.