I've seen this on several of my auctions, get 12-20 watchers- no bids, lower the price a bit, then get 3-4 bids that take it over the original asking price anyhow... go figure. Guess you can't under-estimate the desire for people to feel they are getting a "deal"- whether true or not.
And yes I am well aware of the last minute- one and only bidder scenario... but here I am talking about 12-15 watchers with no bids at all.
This is why I sometimes go with BIN, state my price, maybe use the Make An Offer option, and leave it up for 30 days or more until the right buyer comes along. If you don't like Watchers and re-listing, and you know what the item is worth to you, that's the way to go.