Carpal tunnel syndrome is basically the compression of the median nerve, caused by the narrowing of the small space called the carpal tunnel that the median nerve goes through. During my acupuncture training in school, one of my teachers told us that the problem in the wrist was never just in the wrist.
Since the median nerve originates in the neck and travels down the front of the shoulder, arm, forearm and to the hands, any inflammation and swelling of the muscles, tendons, ligament, joints, and the surrounding tissues on the path will compress on the nerve.