The episode focuses on Nightcrawler's past and his struggle to accept his mutant nature. While Magneto's presence is felt throughout the episode (his past association with Nightcrawler's father is revealed), he doesn't actually appear or interact with Nightcrawler.
Instead, the episode explores Nightcrawler's fear of rejection due to his appearance and his desire to fit in with human society. He faces this conflict through his interactions with his father, who abandoned him due to his mutation, and with his friends, who initially struggle to understand his differences.
Therefore, while Magneto's influence on Nightcrawler's life is significant in the episode, he doesn't directly affect Nightcrawler in the episode itself.