Why is Alexa's rank going down, if the website has good traffic and there aren't any issues with the site?

There can be a variety of factors involved for a decrease in site rank, including where your traffic sources are coming from. It also depends on the type of site measurement being implemented. You can see more comprehensive site measurements (including traffic sources, category and country rank, social media traffic, outgoing links, audience interests and more) by using http://similarweb.com (full disclosure - I work for SimilarWeb)

It really is just one measurement and shouldn't be considered the "be-all-end-all" solution. Our site (https://mokumax.com) used to rank in the top 100K but since our most recent updates it's over 2MIL now. Our updates vastly improve the site and user experience BUT don't fit into Alexa's algorithms. Most of the user interaction is within just a couple of pages on our site. The user doesn't have to load tons of pages to get to all the info they need. Our Alexa went up (by A LOT) but our bounce rate in Google analytics has gone down by almost 50%. I prefer a low bounce rate over a low Alexa any day of the week.

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