For years now, the default keyboard on Apple TV has been “linear” meaning the keyboard is one long row, A to Z, so typing means swiping left and right a lot. Personally, I hate it. Fortunately, you can switch the keyboard to a “grid” layout if that works better for you. Go to the Settings app > General > Keyboard, then switch from “Automatic” to “Grid”.
Not all apps respect this setting but many do.