In my opinion, daveduffield from Hobby Kings provides some of the best analysis regarding Michael Jordan inserts. He often backs his thoughts up with loads of data. Here’s his explanation on why we often see rare Jordan cards receive multiple bids as soon as they are listed on ebay:
“Thats one of the differences between the high-end and the middle- to lower-end-markets. In the high-end market it is very common for collectors to set a certain price floor immediately, because a) they dont think card is going to go for a lower price anyway, and b) if indeed they should get that card, they would take it all day for a (floor)-price like that. So, that behaviour is not just common in the MJ-area, but for other cards as well. Take some high priced non-Jordan basketball cards out of the last 2 weeks from eBay:
Kobe 1997/98 E-X2001 KOBE BRYANT CREDENTIALS #/73 BGS 9.5 – was trading at 2.000 USD + less then 24 hours after being listed
Kevin Durant Exquisite Gold AU RC /35 – received a 2.222 USD bid less then 24 hours after being listed.
Btw, many early bidders come back towards the close of the auction with their “real” bid.
Such behaviour also has the advantage, that the seller is less likely to pull his auction. The latter happens all the time and it can be frustrating for a high-end buyer to see that business practice, especially with rare cards, that come up once or twice a year only. For example, if the bid for an estimated 3.000 USD card is immediately pumped up to 2.000 USD, the seller will hardly be talked into a, lets say a 2.000 USD-deal. But such a 2.000 USD deal could easily happen, if the seller sees his card not moving at all for days in the low hundreds-area. If he sees his card at 400 USD with 2 days to go, he will much easier let go his card for 2.000 USD. But he very likely will not, if, at the same time, his card already approached 2.000 USD thanks to some early bidders.”