Caffeine is a stimulant (see below) that effects people in different ways depending on their biological/chemical composition. Each person must determine his/her tolerance level.
Suggestions: go to a search engine and type in caffeine as a stimulant or caffeine dangers to learn more about the caffeine and your health.
However, there is a definite relationship to sleep patterns if abused. See the following from pages 83-84 of Caffeine Connection by Moore-Ede, MD PhD:
Caffeine is a stimulant (alkaloids called xanthine derivatives, also theophylline and theobromine) These substances speed up the central nervous system (these substances may also be found in some cold medications and colas). Within 15 minutes of consumption, the "drug" begins to take effect. It increases the hormone epinephrine (adrenalin) and triggers the following:
Downside, like any other stimulant, there is a low to the high which reacts differently with body chemistry.
Attempts at withdrawal may result in: headache, drowsiness, fatigue, irritability, depression, nausea, flu-like symptoms.