The ice pick in the 1 5/8" length was supposed to be another pick style ice bait. The triangular shape reflects a huge amount of light and narrowing down to an active point meets the needs for the ice guy. The one inch pick was a copy of the 1.75" fry bait only a hair longer and I think the mis-assumption was that the larger pick bait was the double for the 2.5" fry. Not so. As you have seen the height of the pick bait isn't as tall as the fry's tail, especially that close to the fry body. You may be able to avoid the problem by laying the tail color further back into the tail cavity of the fry mold but then you'd shorten the tail color by quite a bit.
I got the same pick mold and tried the tails in my 2 1/2" fry mold with the same results. Now I have a pick mold that sits there.