My game has similar principles to BlockBreaker/Breakout I know that Characters can take powerups indefinitely. I know they can use the menu jump indefinitely. I am currently using a Ball object rather than character, because the character is being used to manipulate the Paddles. Wondering if as an object, the ball can pickup powerups and also cause a gameover somehow so i can go to another level.
I don't think so. The only element that really interacts is the character. So the first thing I would try is to make the ball the character. Then use advanced moves to move the paddle. If this does not work, you need to make some hack. Is it possible that when the ball (not the character) reaches the end point you can destroy one final decoration object that has the powerup in its death animation that then get picked up by the paddle? You might have to make it big as the screen so it can't be missed. Or attach the powerup to a physic decoration object that then falls down and get picked up when the last platform is destroyed. That could work too.
Yeah just have the ball object destroy an object without a collision or any damage and drop the action in that non collision object death animation and stretch it so the character can touch. Basically what Christoph said.