Dude. That is cool. Wicked Cool. Like FIRE!!!
I mean, check it out:
Hold down the button and not hitting enemy = repeated first stage basic attack (repeated jabs)
hold down the button and hitting enemy = progressive stages of combo (jab, then kick, then whatever)
repeatedly tapping the button and regardless of whether you're hitting the enemy or not = progressive stages of combo (jab, then kick, then whatever)