You are setting item "Muted" on every tick and probably other items too ("LevelReached", "LevelArray" etc.) Reading from and writing to local storage on every tick is a serious mistake, don't do this!
Also, you have "On item set" events nested under other events, which may cause them to never trigger. They need to be top-level events.
Take a look at this demo, showing an efficient way to use local storage, you can open it in trial version of C3.