Heat olive oil in a large skillet over medium heat. Add diced onion and sauté for 3-4 minutes until softened and translucent, stirring occasionally for even cooking.
Add minced garlic to the pan and cook for one minute until fragrant. This step releases garlic's natural sweetness and prevents bitterness from the final sauce.
Stir in crushed tomatoes, vegetable broth, smoked paprika, oregano, cumin, cayenne, salt, and pepper. Bring the mixture to a gentle simmer for 8-10 minutes, allowing spices to meld into a cohesive base.
Add diced bell peppers and simmer for 3-4 minutes until slightly softened. The peppers should retain some texture while the cozy egg dinner sauce deepens in color and flavor.
Create eight small wells in the tomato sauce using the back of a spoon. Gently crack eggs into each well, spacing them evenly around the skillet. Cover and cook for 6-8 minutes until whites set but yolks remain runny—this is the signature texture.
Remove from heat and sprinkle fresh parsley and crumbled feta across the top. The heat will gently warm the cheese without melting it completely, creating a delightful textural contrast.