I am running into this problem as well, Screenshot of ls -la.
When viewing the source of the page it does have the comment with how long it took to generate, but running some load tests on the site and it’s clear it’s not serving from the cache.
It’s possible my host (Pantheon) doesn’t give permissions on the server instance to create a folder where the cache would be stored, though not sure how it currently works in 1.10.1.
I’m going to be testing on a Digital Ocean droplet when I get a chance and can confirm there. If it turns out that it can’t create a folder for instagram-feed, I wonder if it’s worth falling back to just wp-content/uploads main directory?
We’re fine keeping this version for now. Appreciate the quick response!