Is SpaceX IPO bullish for other stocks?

Everywhere I look online, all the gurus like Tom Lee on Bloomberg and CNBC seem to think the SpaceX IPO will be a headwind for equities in the short term. The logic is that money managers will have to sell off some of their current positions to raise the cash to buy SpaceX. However, why aren't they considering the flip side? Current SpaceX investors will finally get the opportunity to diversify and dump the top on retail. All that unlocked cash can then be rotated right back into buying other stocks. What do you guys think? Think about the sheer amount of paper wealth that has been trapped in SpaceX for over two decades. If the rumored $1.75 trillion valuation holds, early VC funds, institutional backers, and long term employees are sitting on astronomical but completely illiquid gains. The financial media is treating this mega-IPO like a one way street where capital just vanishes into a black hole to buy the stock. What they are completely ignoring is the massive wealth transfer happening on the other side of that trade. Instead of a liquidity drain, this could actually trigger a massive market rotation, injecting fresh, diversified capital into sectors that have been largely ignored?