Spark plug gap

I am running Autoolite 65 plugs in my 360. W2 heads around 10 to 1 compression. Mopar 284/480 hydraulic cam. My question is it seems to pull real hard to 5600 rpm, then falls flat on its face. Doesn't seem to gradually just all at once. I pulled a couple of the plugs, and they were gapped at .025. Would this do it? Im running a msd digital 6al. What would the proper gap be? And is this the right plug for my combo. And before too many people tell me, I know the W2 heads are too much for the cam that is in it. It was just an experiment to see what the heads would do without changing anything else.
I'm running this box in my Demon. I had this issue with engine cutting out at 5700 too. Then the dyno operator said it sounded like was hitting the rev limiter, though it was set to 6200. So I set it to 8000, the motor reved to 6500 clean as could be. So now I set my rev limit at 7000. I'm running the 508 Mopar cam. I gap my plugs at .050. Set your limiter up higher and make a pass to check. The 508 cam pulls hard to 6500, but I shift car at 5800.