Newly Diagnosed T2D - Extreme False Hypos

Hello everyone, i am 39 years old and I was diagnosed with T2D about 2 weeks ago with an A1C of 10. I have been pre-D for more than 10 years and also had GD. Before I was officially diagnosed, I started with some glucose testing myself at home while waiting for the doc appt. After getting a 300 BG read, I decided to go on a low carb diet before my actual appt so I could be already addressing my diabetes. The first false hypo episode came when my BG after dinner got to 183. I felt a wave of extreme anxiety that shot through my body. I had all the symptoms of a hypo, and I literally thought I was going to have a heart attack. I ended up going to the ER, and the ER doc confirmed there was no heart attack and I just had a bad panick attack and my fight or flight kicked in. After the ER visit, I went to my regular doc visit, and at this time my BG readings were in the 240-255 levels. The doc prescribed me 500 metformin ER twice a day. I came home very determined and started taking my meds and worked on my diet and exercise. I am eating a low carb diet with 30 minutes of lite- moderate exercise daily after lunch. Good news is that in two weeks I was able to get my BG down to the 135 range 2 hours after eating. However, I am getting repeated episodes of panick attacks throughout the day with all the symptoms of hypos. I am suffering on a daily basis with these attacks that I am even scared to go anywhere. My question is that has anyone of you experienced this before when you first tried to lower your BG? If so, am I dropping my BG too fast? I thought the idea was to clean up your diet and get your levels down as soon as possible… should I maybe dial it back a bit? How did you handle the gradual reduction? Did you lower your carb intake slowly or cold turkey? I am so confused and any advice would be greatly appreciated.