More than anything, this step is about getting a quick win early. This baby step allows you to check the box to say you were able to complete one of the baby steps in a short period of time.
While saving $1,000 still checks that first box, you could more easily get derailed if an emergency comes in at more than $1,000.
The goal is to put as much money as you can towards the lowest dollar amount debt and pay it off as fast as possible.