Did you try code like this? It seems to work OK for me.
private void button1_Click(object sender, System.EventArgs e)
{
this.gridDataBoundGrid1.BeginUpdate();
for(int i = 1; i < this.gridDataBoundGrid1.Model.RowCount; i = i + 2)
{
this.gridDataBoundGrid1.Model.Rows.Hidden[i] = true;
}
this.gridDataBoundGrid1.EndUpdate();
this.gridDataBoundGrid1.Refresh();
}