Unbanning journalists and controversial figures such as Andrew Tate was a good move by Musk. Not because I'm of the opinion that these people were right but because Twitter had turned into a censorship center. I was even receiving warnings on my personal accounts I used for off business stuff.
Trump however should've stayed banned for inciting violence and wanting to overthrow the elected government. He is literally a criminal.
Even from a business perspective, unbanning Trump was bad because he won't post on Twitter anyway since he has his own social media platform. This was predictable. Most people won't care about Trump even if he did choose to post, that's because he's not president anymore. Trump knows this, it's possibly one of the reasons, if not the main reason he's not returning. Reinstating him only caused Musk to lose support from anti Trump folks.
Objectively bad move by Musk but he does enough red herring for it to be dismissed as another of his "mind games" for publicity.