What do you compare this userbase to? Twitter? Facebook? Reddit? HN? All of these places have similar or worse userbase and worse filtering/blocking options than bsky.
If they want to remain a niche echo-chamber platform rather than become a major social network, that would be an appropriate strategy. However, I expect they have higher ambitions.
What they should also do is redesign (or remove) the "nuclear block" feature. In its current state, it helps perpetuate a hostile and exclusionary atmosphere to new users, which isn't going to help Bluesky grow an active and diverse userbase.
Also, unlike ActivityPub, it's actually useful for building features that normal people expect from social apps — for example, algorithmic feeds and search, and a single interlinked world (rather than fragmented "servers").
Eh, AP has its own sets of problems (underspecified protocol, split-brained on discoverability, new developments are met with hostility in the community)
What Bluesky should do now is focus on expanding their userbase away from this particular group of insufferables.