Combine cranberries, maraschino cherries, and raisins in a food processor, meat grinder, or baby food mill fitted with the blade. Process until finely chopped.

Transfer the fruit mixture to a saucepan; add sugar and honey. Bring to a boil. Cook over medium heat until quite thick, 5 to 10 minutes. Let cool, about 15 minutes. Refrigerate filling; it should thicken to the consistency of thick jam.

Combine water, yeast, and 1 teaspoon sugar in a 1-cup glass measuring cup. Let stand until foamy, about 5 minutes.

Meanwhile, microwave 1 cup butter in a 4-cup glass measuring cup until melted, about 1 minute on high. Add milk and microwave on medium until steaming, about 3 minutes. Let cool slightly.

Stir proofed yeast and eggs into the milk mixture. Mix flour and 3 tablespoons sugar in a large bowl; make a well in the center. Pour yeast mixture into the well. Stir until well combined. Cover bowl with greased plastic wrap or a lid and refrigerate, 3 hours to overnight.

Line 2 baking sheet with foil and grease lightly with 1 teaspoon butter.

Divide dough into 2 pieces. Roll a piece out into 18x14-inch rectangle on the foil. Cut eighteen 1-inch flaps down each long side like the legs of a centipede. Spread 1/2 of the filling down the center strip. Overlap the flaps of dough alternately over the filling, tucking the ends under. Repeat with the second piece of dough and remaining filling.

Gently curve the tops of the loaves to form a candy cane shape. Leave at least a couple inches all around for dough to expand. Cover with dry towels and let rise until puffed and doubled in size, about 45 minutes.

Preheat the oven to 400 degrees F (200 degrees C).

Uncover loaves and bake in the preheated oven until golden brown, about 15 minutes.

Mix icing sugar, melted butter, and milk in a small bowl or glass measuring cup to make icing. Spoon into a resealable plastic bag and snip off a bottom corner. Drizzle icing over candy cane loaves while still warm.