I don't think so, the referee was being fair with that decision since he was called back by the VAR officials. Having a close look at the action, you'll see that the ball hit the lower part of balde's hand that was away from his body. It was a clear penalty and the referee showed an unbiased judgement by awarding it.
No one is talking about whether the ball actually hit the hand or not. Not every ball-to-hand situation is a penalty. The arm was in a natural position and if it hadn't hit the hand, it would've hit the body anyway, so it didn't disrupt the flow of play at all. Balde defended very well in that moment, it's a shame that effort went to waste. Still, since Barca didn't lose points because of it, it's not a big deal. It didn't affect the course of the league in any way.
I also saw in the frontal view that his hand was closed, so I thought it wouldn't be a penalty, but his arm wasn't attached to his body. He was reaching for his outstretched hand.
My opinion is that Balde was trying to hide his hand. Perhaps his intention wasn't to block the ball, but according to the rules, the position is a penalty.
As for the game itself, Barcelona played a completely different game in the second half. They kept Levante confined to their own half until they made it 2-2. Pedri opened the scoring, and Ferran Torres made it 2-2 in the 51st minute.
Levante had chances to win the match but couldn't mount a strong attack. Elgezabal jumped for a chance in the 90th minute, but the ball hit his head and scored. Barça finished the match 2-3 with this goal.