I propose that the closer the Satire gets to touching us, that we are the target of the satire instead of just the observer, the less funny it starts to seem to us.
When Taliesin satirized the Poets of Maelgwn’s court I’m sure that the Peets did not think it funny, nor Maelgwn, perhaps some of Maelgwn’s courtiers, but no the humor of those satires was most effectively felt far outside the sphere of Maelgwn, amongst other kings.
But the Satirist writes their satire with an attitude of aggression, the closest expression of which in modern phrasing might be the statement inviting a fight “Come at me, bro”
The Satire at its height should be one great provocation that dares its targets to respond, with such overpowering force that those targets break out in a cold sweat and retire to their quarters, draw the windows down, get under the covers, and send general word that they are feeling unwell.
Those who are not the Satirist’s targets may stand and laugh and find the actual targets ridiculous, but the Satirist desires those who laugh at the targets also feel the proper respect, that respect best phrased as “man, I am glad they’re not talking about me”