It is good Netiquette to set a maximum bid. Don't go over your budget.
A maximum bid limit prevents getting caught up in the moment and spending more for an item than intended. Irrational exuberance causes many people to compete with other users or an item.
Many people bid to compete with other bidders. This allows market manipulation. Sellers associates have been known to bid against legitimate buyers in order to raise the price. Other sellers use fake accounts to bid prices higher.
A firm price based on research is a good price. Anything above a set price is coercion. Coercion becomes market manipulation if it is deliberately done by the seller.
Set a maximum bid and do not go above it because sellers have been known to manipulate auctions.
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