Not really. Most tilt cylinders are not designed to handle the pessure of the motor pushing the boat. Pretty good chance if you continue running it this way you will blow a seal in your tilt cylinder. Or worse, break something.
You have to be talking about your "Trailer" switch to trim out, correct?
There should be no difference in speed or potential damage with either switch (trim or trailer or tilt) with an I/O. The ONLY concern and ONLY difference is tilt bypasses the "trim" limit which is designed to save the u-joints at full power levels. As long as you don't exceed the angle of the original trim limit, then you are OK.
The exception is OMC Stringer drives as the tilt and trim are totally different systems.