with everyone bidding so much on e bay?

[1dilemma]

Good for the sellers of course.
I'm new to the whole thing so please tell me if I'm wrong or there is something I'm missing.
I've seen something I like, finishes in 5 days, starts at 99p.
So why after 6 bids is it allready 77 pounds?
Do the buyers really think they're going to get it? Do they not think someone will come in and offer 79 pounds in around 4 and three quarter days?
I guess it will just show that things find their own value (as my estate agent says) ie even if you market it at 99p it will sell for 100 pounds if that is what someone is prepared to pay.
But I would only go up in little tiny bids.
So what am I missing? AIBU?

Sometimes people put in a maximum bid which does not show up on the actual bids, so each of the six bidders would bid and place say a maximum bid of a differing amount which automatically gets placed each time someone betters it, up to the maximum amount. Personally, I wait until about 60 secs before it ends.

I guess tha maximum bid thing is what makes it work for the sellers!
I too am waiting just watched one go up about 30 pounds in the last few minutes. Ohh any advice as to what is the best price x.99p/x.67p to get something?

Putting a bid in at .02p seems to work with many buyers (i.e. place a maximum bid of £78.02).

cheers