Two days after notching her first main-draw win at a major via a dramatic comeback, Aiava again showed her resilience, riding the support of a parochial crowd to force Collins to a deciding set.
But the American's class won out in the decider, with Collins claiming a 7-6 (7-4) 4-6 6-2 victory to tee up a third-round clash with countrywoman and 19th seed Madison Keys.
Aiava's exit means there are now no more Australian women in the main draw.
Big-hitting American Collins, runner-up to Ash Barty in 2022, was seething throughout as a parochial crowd regularly cheered her errors and double faults - at one point yelling "Shut up".
But once the match was done, the fiery American was happy to play the pantomime villain.
In celebration, she cupped her hand to her ear and yelled "How about that?"
Danielle Collins hammed it up for the parochial crowd after her three-set win over Destanee Aiava. (Lukas Coch/AAP PHOTOS)
She then blew kisses to the jeering and booing crowd, before slapping her backside.
"Yeah, I mean Destanee," Collins then said at the start of her on-court interview.
Then she heard the boos and added: "You know, I was thinking during the match.
"I was like, if I'm out there I might as well take that big fat pay cheque.
"(Coach) Coco Vandeweghe and I love taking a holiday, so part of that cheque is going to go towards that. Thanks for that guys.''
When the interviewer wrapped up the chat, Collins added: "Thank you guys, love ya."
It was a bitter end to an enthralling contest.
Aiava, wearing a replica of Maria Sharapova's 2011 French Open dress, went toe-to-toe with big-hitting Collins, taking the first set to a tiebreak.
Destanee Aiava left everything on the court in her second-round loss to Danielle Collins. (Lukas Coch/AAP PHOTOS)
Collins ripped away to a 5-0 lead, prompting Aiava to throw her racquet to the ground in frustration - and despite a run of errors, the American was able to hold on to claim the opening set.
Aiava broke Collins in the first game of the second set, and with the home crowd at her back maintained the momentum and earned a double break and the opportunity to serve for the set.
Collins called for the trainer before receiving treatment on her right foot and taking a medical time-out.
When play resumed, Aiava earned a set point but couldn't hold her nerve and was broken by Collins.
Aiava earned three more set points on Collins' serve but the American saved them all.
However, the Aussie converted her fifth to level the contest.
Aiava couldn't convert a break point early in the decider and Collins pounced when leading 3-2, breaking the Australian to claim the ascendancy.
Collins earned two match points on Aiava's serve when leading 5-2 and claimed the second.