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Out bid?

Here's the situation:
Item was at $51.50 and only 4 bids with 8 hours to go. e-bay bid increment: $2.50. 7 bids total at end. My max: $126.25 with 7 sec lead time. I lost to someone at $129.75.

I can't rationalize the last three bids- which at least one was mine. If the bid was still
$51.50 with 7 seconds to go then AS should have bid $54.00 and then I would have gotten out-bid by not more than another $2.50.

Any other scenario appears strange. Unlikely that someone would have bid $124.25, up from $51.50 with just a few minutes to go.
So what happened? How is this possible? Dueling Sniper software runs up the price in one second?
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