Changes in Bitcoin Lightning Network capacity significantly impact its scalability and price. As a Layer-2 solution, the Lightning Network enhances Bitcoin’s transaction throughput, processing millions of transactions per second off-chain, far exceeding the base layer’s 7 TPS. Recent data shows capacity growing from 3,350 BTC in January 2022 to over 5,490 BTC by February 2023, a 63% increase, improving scalability for everyday use like micropayments. This reduces congestion and fees on the main chain, making Bitcoin more practical as a medium of exchange. Rising capacity often correlates with price increases, as seen with a 38% BTC price surge in early 2022, reflecting heightened adoption and utility. However, challenges like limited merchant adoption and security risks remain, potentially tempering its price influence unless resolved.