Um, no ? Ketones come from fat burning, not muscle.

In T1D with no insulin, muscle break down from gluconesis will increase blood sugar in the blood even more. The absence of insulin also makes ketone production unrestricted, so you end up in ketoacidosis.

Muscle is used when you don't have fat, or when you eat completely nothing (burn both fat & muscle).

Like I've gained ~10KG of muscle while on keto diet. Blood sugar at 70-100 depending on scenario. Usually on the lower end.