@okwithmydecay It works for me and I am on the same Mastodon instance as you.

But - it doesn't generally work retrospectively. You (or somebody else on the same mastodon instance) needs to follow your Pixelfed account for future posts to become known to your Mastodon instance. But it won't usually backfill earlier posts.
This is not specific to Pixelfed, it would be sillar with two accounts on different Mastodon instances.

@dansup Are there any plans to make it easier to migrate between instances in a similar way to Mastodon?

I wouldn't mind moving from pixelfed.social to a smaller instance, but I think it would mean starting again from scratch with both followers and people I follow.