That is a high level of noise but not unusual for a modern DSO. I do not think anything is wrong with it.
Hunt out Dave's video on DSO noise for further understanding.
Dave did not make any quantitative measurements of analog oscilloscope noise, which is fair since this measurement is often difficult to make. He is correct in that digital displays make noise more apparent, but most or all modern "consumer grade" DSOs also have more noise. (1)
The best modern DSOs have comparable noise to the best analog and digital storage oscilloscopes of the past since they are both limited by semiconductor physics in the front end high impedance buffer and amplifier.
(1) For most analog oscilloscopes, the trace width sets a lower bound on observable noise which like a DSO, makes the noise look worse than it really is. But even with this, observed noise is usually lower assuming you trust the DSOs ability to measure its own noise which is not always the case.