In 2nd and 3rd person POV, the narrator is the storyteller. In first person, the narrator is the character. So unless you intended to differentiate between the narrator and the writer in the story, then I think you'll need to avoid 1st person POV.
Also, if your main character directly addresses the narrator, and vice versa, rather than addressing the reader, then you'll need to grapple with the tense of your story and consider when is the narrator telling the story relative to the story -- this is called point of telling.
For instance, if the entire story was told entirely in past tense, that would mean when the narrator related the story, that they knew that the character would become aware that they were in a fictional story of someone else's creation. For me, the question that arises is why would the narrator continue to relate the story. It has the feeling of being very contrived and not spontaneous. A kind of look-how-clever-I-am thing on the behalf of the writer.
If I really apply myself, I can imagine there exists a sort of meta-fiction take in the vain of the discussions between Achilles and The Tortoise and the Hare in Gödel, Escher, and Bach by Douglas Hofstadter. A kind of discussion that is fully aware that is is a discussion that is being read by someone else.
And, this setting has been used in episodes of The Twilight Zone and Outer Limits as well as at least one movie -- Stranger Than Fiction. But, these media are generally perceived as told in the present tense and not past tense. I think that is an important element this setting needs for it to be effective.
For instance, if the story starts in the past tense and transitions into the present tense when the character realizes they are a fictional manifestation, and begins interacting with the narrator, then I think that kind of story would feel more spontaneous since, conceptually, the narrator would be surprised by the actions, reactions, and possible protestations of the character. I'm am at a loss to imagine what the point of such a story would be -- like what plot or character arc would need this artifice to make the story tangible. But, that doesn't really matter. If you can make it work, that'll be terrific.