I like the fact that I can rollback to a previous iteration.

That's a feature of the btrfs filesystem, not from the distro being immutable. I have the same functionality on Nobara. With immutability, what happens is that extra services outside of flatpaks are often reset and/or deleted during updates.

I also believe you're getting the kernel rollbacks confused with full backups. That's a different option you get with most distros, immutable or not, anf it's something you have to set up yourself because they take up a lot of storage which some users might not have.

It sounds like you dislike Bazzites immutable nature. Genuine question, why is that?

I'm not trying to hate on immutability, just pointing out that not everyone likes it, hence it's a contributing factor to CachyOS being more popular.

I personally need some more customizability with my setup, such as with heavy Skyrim modding and extra services like SyncThing, so an immutable distro ends up getting in my way. Not everyone needs those, so that's not an issue for them.

And yes, I'm aware Bazzite has workarounds for SyncThing. But that's specific to Bazzite. It's a nightmare to get it working consistently on SteamOS because it's also immutable.

Immutable distros have several downsides. The OS is locked down/gets reset every update, so you can't make any custom changes to the OS. More importantly, that also means you can't install many programs. The only software you can install natively is Flatpak since those install to your home folder. Other software have to be installed through workarounds like distrobox to get them to install to your home folder as well, but those workarounds are hacky