Editor says, what if Saladin's ruse had failed to tempt the Crusader Armies into a trap? Please note that the opinions expressed in this post do not necessarily reflect the views of the author(s).
In our timeline, the outcome of the Battle of Hattin was that the Muslim armies under Saladin captured or killed the vast majority of the Crusader forces, removing their capability to wage war. As a direct result of the battle, Islamic forces once again became the eminent military power in the Holy Land, re-conquering Jerusalem and several other Crusader-held cities. These Christian defeats prompted the Third Crusade, which began two years later.