I'm confused why some players are upset about the instance cap

You honestly typed that immediately after this:

What part of “around the clock,” “every day of the week,” “middle of the night,” or “on weekends” suggested that bots are only ever banned in waves? Just because ban waves exist doesn’t mean that they aren’t banned at other times. They explicitly said that botters get banned all the time; the bans just aren’t always advertised.