"The magnetic field of the magnet points upward. To oppose the upward increase, the magnetic field inside the coil produced by the induced current needs to point downward."
"When the magnet is brought far away from th coil, the flux decreases, so th induced current in the coil produces an upward magnetic field through the coil that is 'trying' to maintain the status quo."
The magnetic field strength of the magnet itself does not increase. The
local magnetic field strength at the coil of wire increases when the magnet is brought closer to it. So, as you bring the magnet closer to the coil the magnetic flux is changing (increasing in this case), and because the coil is a conductor, a current is induced in the wire that opposes the increasing magnetic field flux at the wire. This current lasts only as long as the magnetic flux is
changing, so when you stop moving the magnet towards or away from the coil of wire, no current flows.
As you put it, an excellent way to think of it is as if the coil has a "status quo". This status quo is in fact the conservation of energy.
From wikipedia -
QUOTE
To understand the implications for conservation of energy, suppose that the induced currents' directions were opposite to those just described. Then the north pole of an approaching magnet would induce a south pole in the near face of the loop. The attractive force between these poles would accelerate the magnet's approach. This would make the magnetic field increase more quickly, which in turn would increase the loop's current, strengthening the magnetic field, increasing the attraction and acceleration, and so on. Both the kinetic energy of the magnet and the rate of energy dissipation in the loop (due to Joule heating) would increase. A small energy input would produce a large energy output, violating the law of conservation of energy. This scenario can never happen, and is why the induced magnetic field of coil of wire must OPPOSE the change in flux at the coil.
(my bold)
It's not the most intuitive of things... also, if you've never heard of the "right-hand rule" that provides the orientation for cross products in equations such as
qv x B, this would be an excellent time to learn. Just google the hell out of it until you're a guru