No, you're certainly still required to use the ellipse technique shown in the video regardless of whether you're drawing traditionally or digitally - the tools you use aren't relevant, the concept itself does not change. I've taken your image and added yellow lines to it to make the following explanation a little clearer:

The red lines and their corresponding yellow lines are not equal in length (in 3D space). The further the lid is raised using this method, the longer it has to be, meaning that it does not actually work. This is why we draw a circle in 3D space with the point where the red and yellow lines meet as its center. The edge (both yellow and red) serve as the circle's radius - it remains the same length in 3D space, and so the circumference of the circle is what you'd want to follow to find the proper end point of that edge.

And yes, using the Y method would still be fine. All that matters in the technique you use is that it continues to follow reality. Objects cannot physically be getting larger or smaller as they move around in space (aside from basic perspective making us perceive them to be larger/smaller). The Y method is an exercise primarily, forcing us to think more about how our sets of parallel lines converge towards a shared vanishing point, but that doesn't mean we can't use it as a technique when drawing as well.