Mine didn't really make much knock noise as it revved up to 3k in neutral, but did distinctly make more noise over 2500 or so. Checking for rod knock is less messy than checking oil pressure, which makes it easier in my book. If the bearings are, in fact, spun, then it really doesn't matter what caused it because no one ever rebuilds these engines.
An alternative way of checking is by unplugging one coil at a time and revving it the same way that makes the noise. Reconnect when moving to the next coil. By preventing the spark, ignition doesn't cause the piston to shoot down and slam the rod into the crank, which is where that noise would be coming from. If the PCM trips a misfire or coil circuit code and disables the injector on that cylinder though, you'll have to turn the engine off and restart with it connected. I'd rather skip the misfires and further rod damage and just go with the straw in the spark plug holes
In hindsight, mine was probably killed by cold revving because I was a dumb punk kid. I wanted to show it off to an ex-LS owner. Then we heard "pulley" squeak. I wasted a bunch of time chasing down other potential causes because it seemed like it required higher RPM. Cell phone videos are atrocious for reproducing engine sounds, especially back when I did it on a flip phone. I don't think rebuild kits are even available, so it didn't matter why it had knock - the motor was coming out and being replaced. So now it sits under a tarp to be a matchup model for the mythical 4.2SC swap that never happens in the LS