This is called thread nesting or bird nesting. One of the major causes is improper threading--usually, the upper thread is not completely seated in the tension disk.
Remove the thread. Install a brand new needle. ALWAYS RAISE the presser foot. Rethread from the beginning. Confirm the thread path is correct.
Make sure the bobbin area is clean of any lint or thread pieces.
Pull the bobbin thread up. How and Why to Bring up the Bobbin Thread
Set the upper thread tension to the midway point.
Test the stitch. The tension is correct when both threads meet in the middle of the fabric.
Sewing Machine Thread Bunching Up Here Why
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Birds nest under the fabric big loops of thread top side looks good...
3 Common Sewing Machine Problems and How to Fix Them
WHY IS THREAD BUNCHING UNDERNEATH MY FABRIC
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Adjust the tension to a appropriate setting,
See the video here.
Sewing Help Sewing Machine Problem Thread Bunching Under Fabric
The knob and its location can differ based on the model of your sewing machine.
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