I'd say that sounds pretty normal for a baby blood. They like small spaces to feel secure, especially to get them started feeding. Keep doing what your doing and he should feed regularly. I wouldn't worry too much about impaction. Newspaper is fine.

Don't worry about him getting sick as long as the temperatures are good. He should have a temperature gradient with a warm end and a cooler end. I keep mine with the warm end ranging from about 93 to 95 degrees and the cool end ranging from 80 to 85 degrees. She seems to do well with that.