The repetition is not related to being resistant against cryptanalysis attacks. The repetition is aiming to make rainbow tables or brute force attacks infeasible. Being "computationally expensive" was the main purpose here. We benchmarked some servers to determine an acceptable speed. If today's servers were faster, we would use 128,000 rounds instead of 32,000 to make it even more computationally expensive.
One other consideration was the availability of SHA1 on most server applications, including PHP.