You don't need all the permutations. If there are 32 bytes in a cache line then each instruction can only start at one of 32 possible positions. Then if you want to decode N instructions per cycle you need N 32-to-1 muxes. You can reduce the number of inputs to the later muxes since instructions can't be zero size.

It was even simpler until very recently where the decode stage would only look at a max 16 byte floating window.