I think a lot of stuff on local LANs is still HTTP-only because trying to do TLS for local devices – even with LetsEncrypt – is a pain. Not impossible – you can't get a TLS certificate for 192.168.12.34, but you can create a public DNS entry pointing to that and then use a DNS-01 challenge to get a certificate for it. But that's enough work that heaps of people don't do it.
It also makes local LAN reliant connectivity reliant on public DNS – since you can't do https://192.168.12.34 you have to do https://device-12-34.example.com, if your Internet connection is down you might not be able to resolve device-12-34.example.com even though the device is up and accessible on your local network. Adding a local DNS server will fix that – but now that's another thing you need to make it all work.
Whereas if we had opportunistic encryption for http://, that would make local LAN passive attacks a lot harder. Yes it wouldn't stop against local LAN active attacks, but security against passive but not active attacks is still better than no security against either.