What is a market maker and why do they influence price so much?

A market maker it is a necessary participant for the market to function properly. Their main role is to provide liquidity, meaning they constantly place buy and sell orders so there is always someone on the other side when you trade.

Without market makers, spreads would be huge, entries would be poor, and many trades wouldn’t even get filled.

The problem starts when retail traders don’t understand how they operate.

Market makers make money from volume and spreads, not from predicting the future. That’s why price is often pushed toward areas where there are many orders: stops, liquidations, or obvious levels for the public.