Blue dot in aim when spectate team mates is the user hacking

Any form of hacks won't be shown on your spectate screen.

Spectating is not screensharing.

Your not getting a copy of his screen while spectating.

Your getting data from from the apex servers what he is doing.

And then your computer turns it into a visualisation of the Apex legends data installed on your computer.

Any 3rd party software he is using to cheat with would not have been shown on your screen because your computer does not have that data.

Its a lot more complicated than that and im prolly not 100% accurate now.

But that won't change the final answer.