I don't know that it's the "algorithms": a lot of people just use their following feed on twitter and although it changed a while back that was the default feed on bluesky for a long time. I think that there is a fairly large portion of bluesky users who mostly just look at following and still don't really like mastodon.
Imo, a big reason why bluesky has been a more successful twitter competitor than mastodon is cultural: mastodon has been around for years before musk bought twitter, and a big selling point was that it wasn't like twitter, for example that its "less toxic". A large part of mastodons userbase never liked pre-musk twitter that much and will tell you of for acting like you would there. Bluesky on the other hand has a large portion of users who liked pre-musk twitter and are happy to follow pretty similar social norms as they did in pre-musk twitter.
This is to some extent reflected in the functions of the different sites as well, for example you can't quote retweet on mastodon which iirc is deliberate because qrt dunking is "toxic". Bluesky has quote retweets (although they allow you to untag yourself from a qrt).
It's another c/c++ competitor along with rust and zig. https://odin-lang.org/