Crypto Market Pullback: Layer2 Up 1.13%, BTC Dips Below $79K

The divergence between Layer2 strength and Bitcoin's slide suggests capital rotation within the ecosystem rather than a uniform risk-off exit. This matters because Layer2 performance often signals where developer and user activity is concentrating, which can influence broader infrastructure demand. The key question is whether this relative resilience reflects sustained fundamental usage or just a temporary defensive bid. If Bitcoin continues to weaken while Layer2 holds, the market may be pricing in a shift toward scalability-focused chains, but that outcome remains unconfirmed.