diff --git a/firmware/application/apps/ui_settings.hpp b/firmware/application/apps/ui_settings.hpp
index 431ae3ed9..a9b7ddca7 100644
--- a/firmware/application/apps/ui_settings.hpp
+++ b/firmware/application/apps/ui_settings.hpp
@@ -480,12 +480,10 @@ class SetEncoderDialView : public View {
 
     OptionsField field_encoder_dial_sensitivity{
         {20 * 8, 3 * 16},
-        7,
-        {{"LOWEST", encoder_dial_sensitivity::DIAL_SENSITIVITY_LOWEST},
-         {"LOW", encoder_dial_sensitivity::DIAL_SENSITIVITY_LOW},
+        6,
+        {{"LOW", encoder_dial_sensitivity::DIAL_SENSITIVITY_LOW},
          {"NORMAL", encoder_dial_sensitivity::DIAL_SENSITIVITY_NORMAL},
-         {"HIGH", encoder_dial_sensitivity::DIAL_SENSITIVITY_HIGH},
-         {"HIGHEST", encoder_dial_sensitivity::DIAL_SENSITIVITY_HIGHEST}}};
+         {"HIGH", encoder_dial_sensitivity::DIAL_SENSITIVITY_HIGH}}};
 
     Button button_save{
         {2 * 8, 16 * 16, 12 * 8, 32},
diff --git a/firmware/application/hw/encoder.cpp b/firmware/application/hw/encoder.cpp
index c77c85782..0bb427c94 100644
--- a/firmware/application/hw/encoder.cpp
+++ b/firmware/application/hw/encoder.cpp
@@ -32,24 +32,66 @@
 // 12 degrees of rotation.
 //
 // For each encoder "pulse" there are 4 state transitions, and we can choose
-// how many transitions are needed before movement is registered
-static const int8_t transition_map[16] = {
-    0,   // 0000: noop
-    -1,  // 0001: ccw start
-    1,   // 0010: cw start
-    0,   // 0011: rate
-    1,   // 0100: cw end
-    0,   // 0101: noop
-    0,   // 0110: rate
-    -1,  // 0111: ccw end
-    -1,  // 1000: ccw end
-    0,   // 1001: rate
-    0,   // 1010: noop
-    1,   // 1011: cw end
-    0,   // 1100: rate
-    1,   // 1101: cw start
-    -1,  // 1110: ccw start
-    0,   // 1111: noop
+// between looking at all of them (high sensitivity), half of them (medium/default),
+// or one quarter of them (low sensitivity).
+static const int8_t transition_map[][16] = {
+    // Normal (Medium) Sensitivity -- default
+    {
+        0,   // 0000: noop
+        0,   // 0001: ccw start
+        0,   // 0010: cw start
+        0,   // 0011: rate
+        1,   // 0100: cw end
+        0,   // 0101: noop
+        0,   // 0110: rate
+        -1,  // 0111: ccw end
+        -1,  // 1000: ccw end
+        0,   // 1001: rate
+        0,   // 1010: noop
+        1,   // 1011: cw end
+        0,   // 1100: rate
+        0,   // 1101: cw start
+        0,   // 1110: ccw start
+        0,   // 1111: noop
+    },
+    // Low Sensitivity
+    {
+        0,   // 0000: noop
+        0,   // 0001: ccw start
+        0,   // 0010: cw start
+        0,   // 0011: rate
+        1,   // 0100: cw end
+        0,   // 0101: noop
+        0,   // 0110: rate
+        0,   // 0111: ccw end
+        -1,  // 1000: ccw end
+        0,   // 1001: rate
+        0,   // 1010: noop
+        0,   // 1011: cw end
+        0,   // 1100: rate
+        0,   // 1101: cw start
+        0,   // 1110: ccw start
+        0,   // 1111: noop
+    },
+    // High Sensitivity
+    {
+        0,   // 0000: noop
+        -1,  // 0001: ccw start
+        1,   // 0010: cw start
+        0,   // 0011: rate
+        1,   // 0100: cw end
+        0,   // 0101: noop
+        0,   // 0110: rate
+        -1,  // 0111: ccw end
+        -1,  // 1000: ccw end
+        0,   // 1001: rate
+        0,   // 1010: noop
+        1,   // 1011: cw end
+        0,   // 1100: rate
+        1,   // 1101: cw start
+        -1,  // 1110: ccw start
+        0,   // 1111: noop
+    },
 };
 
 int_fast8_t Encoder::update(
@@ -60,13 +102,6 @@ int_fast8_t Encoder::update(
     state <<= 1;
     state |= phase_1;
 
-    int_fast8_t retval = transition_map[state & 0xf];
-
-    transition_count += retval;
-    if (abs(transition_count) > portapack::persistent_memory::config_encoder_dial_sensitivity())
-        transition_count = 0;
-    else
-        retval = 0;
-
-    return retval;
+    // dial sensitivity setting is stored in pmem
+    return transition_map[portapack::persistent_memory::config_encoder_dial_sensitivity()][state & 0xf];
 }
diff --git a/firmware/application/hw/encoder.hpp b/firmware/application/hw/encoder.hpp
index 4990277c4..3436e071d 100644
--- a/firmware/application/hw/encoder.hpp
+++ b/firmware/application/hw/encoder.hpp
@@ -32,7 +32,6 @@ class Encoder {
 
    private:
     uint_fast8_t state{0};
-    int_fast8_t transition_count{0};
 };
 
 #endif /*__ENCODER_H__*/
diff --git a/firmware/common/portapack_persistent_memory.cpp b/firmware/common/portapack_persistent_memory.cpp
index 7fae31886..6bbaba51c 100644
--- a/firmware/common/portapack_persistent_memory.cpp
+++ b/firmware/common/portapack_persistent_memory.cpp
@@ -80,7 +80,7 @@ constexpr clkout_freq_range_t clkout_freq_range{10, 60000};
 constexpr uint16_t clkout_freq_reset_value{10000};
 
 enum data_structure_version_enum : uint32_t {
-    VERSION_CURRENT = 0x10000004,
+    VERSION_CURRENT = 0x10000005,
 };
 
 static const uint32_t TOUCH_CALIBRATION_MAGIC = 0x074af82f;
diff --git a/firmware/common/portapack_persistent_memory.hpp b/firmware/common/portapack_persistent_memory.hpp
index 29bca44c7..2bbf7751e 100644
--- a/firmware/common/portapack_persistent_memory.hpp
+++ b/firmware/common/portapack_persistent_memory.hpp
@@ -107,11 +107,9 @@ struct backlight_config_t {
 };
 
 enum encoder_dial_sensitivity {
-    DIAL_SENSITIVITY_HIGHEST = 0,
-    DIAL_SENSITIVITY_HIGH = 1,
-    DIAL_SENSITIVITY_NORMAL = 2,
-    DIAL_SENSITIVITY_LOW = 3,
-    DIAL_SENSITIVITY_LOWEST = 4,
+    DIAL_SENSITIVITY_NORMAL = 0,
+    DIAL_SENSITIVITY_LOW = 1,
+    DIAL_SENSITIVITY_HIGH = 2,
     NUM_DIAL_SENSITIVITY
 };