The judge increase the reserve price is because there are more than 1 bidder. Normally the judge will only do that if more than 5 bidders. If let say the judge adjust the reserve price and no bidder wanted to bid, the deposit will not be forfeited, but if a property got more than 5 bidders and judge increase few k, definitely sure got ppl bid one, just those who has lower budget got no chance to raise their hand only.
And, if single bidder for sure the judge won't adjust the price, it will be sold to the bidder at the reserve.
And sure there's reason why the judge adjust/increase the reserve price. You will know it if you have more experience in auction property.

Normally no, because the judge don wan to end up with no bidding also.