I'm sorry for your loss. It might take a week for them to remove the restriction if it was a temporary ban.
As for why you got the ban, it's simple enough: One of your alliance members/opponents might have reported you because of your "miraculously high" streak. You could freely proceed at first because it takes some time for the devs to actually check on you. One mistake, however, would be you changing your defense deck... If you kept it as is, with as many good defense cards as possible, people wouldn't get as suspicious of your victories.
Just to clarify about how the mod works, it simply sets client-sided (your own device) triggering rates of skills/awaken burst to 100% instead of the normal rates (5%, 10%, 20%, etc.), hence it cannot actually change the activation rate of your skills on another player's end as you feared, unless they were also using mods.
About kingdom level and stuff, I have ranked t1000 in the last event (tower) with a level 52 alt account, and I'm currently also ranking t1000 in the AW hunt, and not even once I got banned on that account. The only time I got banned on my main account (level 158) was when I tried going overboard on an alliance with active people, killing LAWs left and right, and making thousands of points in ABB.
My conclusion? Don't join or stay on an active alliance if you're planning on using the mod without making sure you have "progressed" far enough in other people's eyes. Even then, if somebody actually reports you anyway and Mynet catches you cheating, they'll bring down the hammer on you regardless.
TL;DR: Don't get reported. It all ends the moment somebody makes the devs check your records.