Are you sure about that compression ratio? In my only-moderate reading, and very limited experience (a few heads for Cox 049's), an RPM drop with nitro only happens if you've got lots and lots of compression, and the motor is actually overcompressed for nitro.
(BTW: if you build a glow plug adaptor for a Cox reed-valve 049 that just barely clears the piston it'll run all day on 5% nitro, where it wouldn't even start before with a standard plug).