[Eternal]

Honestly I think it would be best to just end this relationship completely and move on. Her friends are right, it isn't fair for you to have to wait around when she's dating another guy during a break in your relationship. Being on a break doesn't mean going out and seeing other people, it just means having some time to yourself. It sounds like she wants a breakup but is trying to keep you there just in case her new relationships doesn't work out. And you don't deserve to be a second choice like that.
It would be better for you to cut off contact with her for awhile so that you can move on from her. The longer you stick around, the longer it's going to hurt. She's basically taking advantage of you, and you should be with someone who actually wants to be with you.