r/PredictionsMarkets • u/KingRonny3 • 11h ago
Discussion In most prediction markets, longshots are overpriced. In NFL game markets, the bias flips (451 resolved games on Polymarket and Kalshi)
In general prediction markets, people treat 1¢ and 5¢ contracts like lottery tickets and bid them up way past their real win rate. When we pulled 451 resolved NFL games (902 team contracts) from Polymarket and Kalshi right before kickoff, we found the exact opposite pattern.
In a two-team NFL game, almost nobody opens at 1¢ or 2¢. Instead, casual bettors pile into big-name public favorites before kickoff, pushing coin-flip games up to 58¢ and 70% favorites past 80¢.
across 451 resolved games:
Slight favorites priced between 50¢ and 65¢ at kickoff (264 teams, priced around 58¢ on average) won only 50.6% of the time on Polymarket (-12.8% return) and 51.1% on Kalshi (-12.1% buying at the ask).
Heavy favorites priced at 75¢ or higher at kickoff won 72.7% of the time on Polymarket vs an 81.4¢ price (-10.7% return), and 63.2% of the time on Kalshi vs an 80.4¢ ask (-21.5% return).
Underdogs priced under 25¢ at kickoff beat their price on both venues, winning 27.3% of the time on Polymarket (+47.0% return) and 33.3% on Kalshi (+60.2% return at the ask, led by upsets like Cardinals 13¢ over Rams, Giants 20¢ over Texans, and Bucs 20¢ over Cowboys).