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I love Notepad++, but I find the folding features not so intuitive to use. Here are my suggestions for improvement, please feel free to debate or add to it:
I find it difficult to use collapse/uncollapse a specific level because I have to first figure out whether that level is currently collapsed or uncollapsed. I think it would be easier to have alt+1/2/3... simply set the folding to that level, regardless of the previous collapse state. Remove the alt+shift+1/2/3... altogether.
With that in mind, Fold All will then simply be alt+1. Unfold All can be alt+0 (since 0 is after 9 on the keyboard).
You can make alt+equal and alt+minus to increase/decrease fold level by 1.
There should be a keyboard option to collapse/uncollapse all subgroups, like how you can do by ctrl+click with mouse. This is my most frequently used folding feature, so I think it deserves keyboard option.
Collapse Current Level (ctrl+alt+F) should be able to work repeatedly without moving the cursor. Right now, you can only press it once, and then you need to move the cursor to collapse the higher level each time. The user should be able to continuously press ctrl+alt+F to collapse up.