The recent cryptocurrency market downturn is attributed to liquidity issues among market makers, according to Tom Lee, chairman of Fundstrat Global Advisors. Lee suggests that the largest liquidation event in mid-October significantly impacted market maker operations, reducing their available funds and increasing selling pressure. Market Maker Struggles Fueling Downturn In a CNBC interview, Lee explained that these market makers, struggling with diminished operating capital, are curtailing trading activities. This reduction in liquidity exacerbates the market's downward trend. He draws parallels to a similar event in 2022, which took approximately eight weeks to fully resolve. Potential Recovery Timeline Lee notes that the current situation has been unfolding for six weeks, suggesting the market could face continued challenges for a few more weeks until market maker liquidity recovers. Investors should monitor market conditions closely as this situation unfolds. ```