It looks a bit too simplistic: Blocks with up to 4k items are stored as sorted lists. Having to insert in a sorted list up to 4k items seems very expensive to me.
Most developers do not have a good intuition for the efficiency and scalability of sequential brute-force on modern architectures. There is a cross-over threshold but I think many people would be surprised at how high it is in practice.
I wonder if it would be worth the trouble to code-gen a bunch of variants with things like 8-bit entries, and benchmark to death to determine the optimal cutover points...
Having said that, I applaud that this type of datastructure is being investigated. An efficient bitset should be present in every collections library.