Anime doesn't follow the normal laws of physics. They follow
these ones.
The scene might have just been a part of promotion and not actually a part of the movie itself, considering most of the animation seems to have been made just for this in the first place.
The "they're still in the atmosphere" thing might have some degree of credibility since I've seen the idea used by other series. However, it's artistic license, as any object that far away from Earth might still be in the atmosphere, but you can't breathe in it. Or alternatively, Goku can just hold his breath really long or something. Whatever.