It depends a lot on the market, but before there were lots of batteries this was extremely typical in the Australian grid. You probably just weren't exposed to it as a consumer! Massive price fluctuations were the impetus for one of the first large scale grid batteries in Australia, and the batteries worked really well to solve it. It doesn't happen often, and nobody is getting paid $150 every day for their home battery. It's just for the extreme events.

As more and more batteries are deployed the price swings will decrease.

It's not a "broken community" it's just end consumers being able to help out in times of great grid need and getting compensated fairly for it.