After watching the second episode it seems that Yoda's species is just naturally just connected to the force. While this episode offered nothing in terms of back-story for anything at all, just what The Mandalorian had to deal with after getting the child you, it does show you that their species has an extremely powerful connection with the Force when he saves Mando's life using the Force itself to lift the creature.
In the beginning I straight up laughed when he got out of his crib, walked over to help heal Mando and Mando doesn't even notice and puts him back into the crib like a regular escaped child...twice.
Just felt like a filler episode in the end. But interesting that the child can already control things.