I've seen something similar to this kind of bidding before but on a Spanish antiques website.
h*****n Puja privada 140,00 EUR jueves, 29/10/09, a las 00:33:39
arteactual ver perfil 138,00 EUR jueves, 29/10/09, a las 00:33:39
h*****n Puja privada 136,00 EUR jueves, 29/10/09, a las 00:33:39
arteactual ver perfil 134,00 EUR jueves, 29/10/09, a las 00:33:39
h*****n Puja privada 132,00 EUR jueves, 29/10/09, a las 00:33:39
arteactual ver perfil 130,00 EUR jueves, 29/10/09, a las 00:33:39
h*****n Puja privada 128,00 EUR jueves, 29/10/09, a las 00:33:39
arteactual ver perfil 126,00 EUR jueves, 29/10/09, a las 00:33:39
h*****n Puja privada 124,00 EUR jueves, 29/10/09, a las 00:33:39
arteactual ver perfil 122,00 EUR jueves, 29/10/09, a las 00:33:39
It goes on and on quite a bit but you'll get the gist.
I only put in one bid not all the ones that are shown (I'm the winner) and it looks like the website kept upping the competing bid until it was exceeded. Maybe the website was just showing what was happening behind the scenes.
However, this doesn't normally happen on eBay. A mystery.