I wouldnt have done that. You started out right, just stopped too soon and not enough ammonia source IMHO
. The fish will now be basically living in a cesspool while the tank finishes its cycle. That is very stressful for them and often you end up losing the fish. Also, if it survives, damsels get fairly aggressive as they age. Depending on what you plan to put into the tank it could cause issues later.
Just my 2 cents worth, not hating or anything.