Hi, tiggerpigger :)
OK....this sounds normal. You say in your post 'during the 7 hours she does stop feeding', and then contradict yourself by saying she is 'feeding every minute she is not asleep' ....and I think what is most likely happening is the first picture ie she is close to her mum for 7 hours at a time, during which she will feed and sleep and feed and sleep, and object if she is not on or near the breast.
NORMAL.
She is getting a lot more sleep than the 6-8 hours she is sleeping in her crib, and the sleep periods are interspersed with feeding off and on.
10 days ago she was inside her mum, and feeding off and on all the time...and she is familiar with her mum's voice, taste, touch and closeness.
She shows just how familiar she is, by crying when she is placed away from her mum.
NORMAL :)
In fact, for her to sleep 3 hours alone at 10 days is unusual. Most babies of this age are not able to tolerate this yet. She is probably able to, because she is getting plenty of contact and closeness during her 7 hour on-off feedathons :)
The facts she is thriving, gaining weight and showing her preference for being close to her mum, shows just how healthy and well she is.
This stage does not last, and it can feel demanding - but honestly it's a lot easier to accept this is how it is, than to keep on expecting her to go down to sleep and to stay asleep. Your wife will appreciate lots of encouragement and tender loving care....and there will be times when your arms and comfort will be accepted by your baby, too, so she can have a break for a shower :)