I'm putting together a high resolution texture pack for Minecraft RTX, however with RTX turned on, any held item over 128x128 resolution (if a good portion of the texture is transparent) or over 64x64 (if most of the texture is opaque) doesn't render correctly.

Once RTX is turned off it renders fine. Held Blocks without transparency and glass render fine at any resolution. Other blocks like iron bars and plants have the same RTX rendering problem when held but look fine once placed.