As someone who has been pushing the Crash train along for a good while and has remained optimistic about his chances, I will admit this does put a damper on things. E3 did seem like the perfect time to announce Crash and him not being here does hurt his chances quite a bit.
That being said, we still need to hold out hope until the very end. Crash wasn't revealed at E3 like we all thought, sure, but that doesn't mean Crash is out of the running. Is he as likely as we thought? Not at all. But his chances aren't 0 and we do need to ride this train out the whole way until we see that very last character.
I also want to say that I really hope no one is angry about Kazuya being in Smash. He probably wasn't any of our first choice's, but Tekken is a popular series that I do think absolutely deserved a character, and their was definitely a lot of vocal support for a Tekken rep, so I say we should all be happy for the Tekken fans that did get what they wanted. I'm also glad to see that PAC-MAN isn't alone when it comes to Namco representation, since I have always thought the lack of a second Namco rep was really, really bizarre, so I'm personally not too mad at Kazuya being in as say Sephiroth, who basically not only killed one of my other most wanted characters (Geno), but also being yet another Final Fantasy character from VII. Besides, Kazuya looks like a fun character and I'm pretty excited to try him out.
Anyways, all I can really say is let's hope for the best. We still have one more character left and while Crash's chances may look grim, it isn't over to we see the last character, so I'm definitely gonna ride this train out until the very end.