Sounds as if the controller forgot you were there; we're all fallible. My view, a quick phone call, clarify the source of confusion and have a mutual tree hug.
As far as your actions are concerned, going around was the only solution. The visul cct is dead safe if ATC are not talking, no one gets to use the runway!
Just an observation, but do you think you descended too low in the expectation of a clearance?