Bot Count Divergence Counter-Trading

With four arbitrage bots leaving, many Polymarket markets see reduced liquidity and wider bid-ask spreads. This strategy monitors the bid-ask spread and bot presence per market. When spreads widen beyond twice historical average and bot count drops by 20% or more, the strategy places passive limit orders on both sides, buying near the bid and selling near the ask, capturing the spread premium. The edge comes from understanding that without arbitrage bots, temporary inefficiencies persist until other bots or human traders re-enter. Entry is gradual—staggering orders over 30 minutes to avoid adverse selection. Exit occurs when spreads revert to normal, or after 12 hours, whichever comes first. The strategy also uses the report's data on 5 monitored wallets to avoid trading against known whale moves. Results depend on inventory risk; capital is partially locked. Implementation requires a bot that adjusts quoting based on real-time bot count and spread metrics. No public repository is provided.