I have had this situation multiple times in my life. It was probably a lot more common for tech in the last 10 years especially in the US.

Edit: I'm seeing a lot of comments on this thread that has not aligned with my experience. I have, in tech, as a software engineer used multiple offers to increase a lower offer by like 15% for a company I preferred and I have also held an offer on the hook so to speak to use it leverage someone else to good effect.