The hammering is to make room for the unit. The purpose of the bolt is to tensioncompress the bearing on the headset.
I would not use the unit for compression.
I suggest:
- Remove unit
- Loosen pinch bolts
- Use the bolt (shown in video) to put proper tensioncompression on headset bearings
- Tighten pinch bolts
- Re-install GPS unit
Mainly I suggest you start with a seat tube based unit.
Headset is a lot of fabrication. In a headset during test you could just let the unit rattle around (pack it with some something).