Moderate Republicans ARE NOT being held hostage by the alt-right Freedom Caucus. They could end ALL this nonsense by working with the Democrats instead.
But then the far right Republicans might post mean things about them on Twitter/X and might go on FOX News to call them traitors. So instead, they'll try to hammer out a deal with the Freedom Caucus who's main policy seems to be "if everyone doesn't give us 100% of what we want right now, we'll burn America down."
The moderates could actually form a rebellion that would be more effective than that of the far right group, I think. The freedom caucus can block but I don’t think they can elect a different speaker - they would have if they could have - but a moderate Republican + all Dems coalition could elect someone else - even a moderate Republican.