For a benchmark test for a British computer magazine in about 1996, I hand stripped down an installation of Windows 95 so that it could fit on a mid-1990s SSD: which is to say, a PCI slot device with 16 MB of DRAM which appeared to the computer as a disk drive. So, effectively, a 16 MB SSD. Not gigabytes, megabytes.
So I can say with some authority that it is possible to have a complete running installation of Windows 95 in 16 megs of disk space; however I had to trim it pretty brutally to fit, so, for example, I think it had 2 fonts left, one of which was used for the widgets that display window-close boxes and so on.
The problem was that the object of the exercise was the benchmark how much quicker it was — but there wasn't enough space left to install any applications, and our benchmark tool used real applications. So, although I did several days work and I did get paid for it, the effort was at heart in vain. But in principle yes you could run Windows 95 entirely out of 16 MB of cache memory, and if you had say 32 MB of cache memory it would be no problem at all.