The quality of the screenshots tend to be worse than what I'm seeing in-game. For example, it's a lot fuzzier in some games, especially in darker scenes, than what I'm seeing.
For example, my screenshot from Little Nightmares below is pretty fuzzy
whereas in this screenshot of a YouTube video, the quality is much better (and their quality in-video is pretty much the same as mine in-game).
You can turn on 'Save an external copy of my screenshots' in Steam→Settings→In Game. This will save an uncompressed version in a custom folder (/Users//Documents by default).
You can also use Windows' built-in image tool (accessed using Win+Shift+S), or simply use PrtScr (or preferably Win + Prt Scn, as it will save the PNG right in your /Pictures/Screenshots folder and you don't have to paste the image first).
But instead of taking screenshots with Steam or Windows, I suggest using Nvidia overlay's Photo Mode (hotkey Alt+F2). You can double the screenshot's resolution (so you'll end up with an uncompressed screenshot 4 times the size of the resolution you're playing at), which usually works very well, and use custom filters to completely change the look and feel. This used to be Ansel (which was way better but replaced because reasons (i.e. enshittification)).
AMD Adrenalin has a similar option.
Your in game settings are clearly very different than the YouTube ones. I think yours technically has higher end effects turned on (look at your character shading vs the video one). The lighting being so much less crisp is probably because your game has several more effects trying to make it look more "realistic".
Your game seems to have a depth of field blur, which is why the person on the balcony looks less crisp. The game is blurring things further back to look more like how real vision and video can't focus on every depth at once.
