Cross save (cross play is not in the game yet) does not connect your profiles in any way. All cross save does is allow you to link multiple platforms, and use the characters from one platform on the other linked platforms.
With your setup, this means you can use your Steam characters and gear on Steam and on PS. It does not allow you to use any items that you previously had on PS. That is all completely separate, and your PS characters and gear are now considered "dormant," and completely inaccessible while cross save is turned on.
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Damn.. so basically all that work was for nothing then? 😅