Problem with basic auth on nuxtjs frontend with wordpress backend

[strtwtsn]

I'm trying to add basic authentication to a nginx reverse proxy which is in
front of a nuxtjs app.

I've configured nginx as such

    server {

    server_name <url>;

    auth_basic "Restricted Content";
    auth_basic_user_file /etc/nginx/.htpasswd;


gzip            on;
gzip_types      text/plain application/xml text/css application/javascript;
gzip_min_length 1000;

location / {


    proxy_pass http://127.0.0.1:3222;
    proxy_http_version 1.1;
    proxy_set_header Upgrade $http_upgrade;
    proxy_set_header Connection 'upgrade';
    proxy_set_header Host $host;
    proxy_cache_bypass $http_upgrade;
}

listen 443 ssl; # managed by Certbot
But if hangs. I've also tried it in the location section, but this hangs
too, what am I missing?

The .htpasswd file exists with the correct details in.

Have also tried changing

upstream backend {
server backend1.example.com       weight=5;
server backend2.example.com:8080;
server unix:/tmp/backend3;

server backup1.example.com:8080   backup;
server backup2.example.com:8080   backup;
}

server {
location / {
    proxy_pass http://backend;
}
}
to something similar to this, but still no luck

Remove basic auth and everything works fine.  I type in the username and
password, and it just sits there spinning.  I've tried chrome dev tools, and
nothing actually appears in the network page.  Eventually i'll get error 504
timeout

Posted at Nginx Forum: https://forum.nginx.org/read.php?2,294797,294797#msg-294797