My question is specifically for the tech industry and software engineer jobs.

I am a very high level IC in a big top tech company who got laid off. I am looking for jobs and in some cases even applying for positions below my current level. One of the first questions that gets asked in tech interviews is why are you interested? This becomes even more difficult if the position is at a level below my current level.

What is the best way to respond to this question in my situation? If I tell them I have been laid off I have shown my cards so to speak.