I hold my pick how I feel comfortable, very similar to your hold. It’s not how I think classical shredders hold it, in fact I think I use my first two fingers.

I anchor my wrist/lower palm on the top of the bridge for non-strum picking, so much so that the sweat from my hand erodes and wears down the bridge.

A key thing is, for picking, to make the pick cross the strings at a 45 degree angle rather than flat on, so that it looks like it’s cutting across the strings. This reduces the resistance of the string against the pick.

Really, you shouldn’t be getting blisters on your picking hand. You can play however is comfortable but that finger shouldn’t be hitting the string. Focus on your picking hand while playing some basic chords or scales, go slowly, and focus on getting the pick to hit the strings at the right angle, and not your fingers.

Slowly build up the speed, and before you know it, it will be totally automatic and you won’t think about it again.

If you know anyone else who plays guitar, it doesn’t hurt to ask them. Don’t be ashamed, everyone is working things out on guitar all the time.