Congrats to Bloglines new search stuff. It should have been done 2 years ago, but better late than never. It could be a nice addition to EgoSearch subscriptions and I already did it for Plagger.
I don't know if it's directly related, while it's likely, but their API authentication has been borked for more than 24 hours, since around 8pm PST of May 31st. All API requests end up with errors "401 Authorization Required". Fix that ASAP!