Normal Shrinkage?

I was worried about this little Titanopsis until I looked at a side by side comparison from day one until now, exactly 2 weeks. The individual leaves have shortened significantly and the color is much more dull. But looking at them side by side I'm seeing growth of the older central leaves and new central leaf growth (red arrows in the second picture), plus there are more warts on the older leaves.

So is the shrinkage just from the plant drying out after being overwatered in the nursery? It looks like it's struggling but it also looks like it's growing 🤨

It's only gotten one very light watering/spritz around the base of the plant, 5 days ago. It's in 95ish% lava rock/pumice/maifanitum/zeolite/diatomite and 5ish% cactus/succulent soil. It's under 34 watts of Sansi grow lights for 12 hrs/day. I measure my light by PPFD and it's currently sitting at about 450, with its top recommended amount being 500-600. It was slowly acclimated and is due for another increase but I'm hesitant to do that without knowing if this change in color/leaf length is normal. Dont want increased light to stress it if its already stressed!

Thanks!

(White powder is left over diatomaceous earth from when I first got it since I dont use liquid pesticides for pest prophalaxis on my moisture-sensitive plants)