Why did Frederick I’s death weaken the German contribution to the Third Crusade?

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The death of Frederick I (Frederick Barbarossa) significantly weakened the German contribution to the Third Crusade because it shattered the morale of his massive army.1

As the leader of the largest Crusader force assembled at the time, Frederick’s sudden drowning in the Gƶksu River in June 1190 led the majority of his troops to abandon the campaign and return home. Only a small remnant of the original force, led by Frederick of Swabia and Duke Leopold of Austria, managed to reach Tyre. Because of this mass departure, the overall German impact on the crusade was minimal, a development that was viewed by Saladin and his forces as a providential event.1