Fonzie. Come again, please?
Seller is buying his own asks in huge single chunks (1000&600
BTC) in order to encourage at least a few
idiots investors to throw their money in before we go down.

I agree that's probably what's happening, but given the amount of suckers relative to good traders in this market, I think I give this gambit a much better chance of succeeding (at least in the short-term) than you do.