Dont feel bad, as long as you have fun with it
You know, animating isn't easy. Neither are sprites, but, you really have potential. The sprite movement was silky smooth, but the film really had no point, or plot. Next time, just think of something, go watch some sprite films like 8 bit D&D, maybe you can get some inspiration. You have real potential man. Don't let these other assholes put you down. They put down every Turd of the Week to make themselves feel better, because they cant actually do anything themselves.
I like to give encouragment to people who win this award, or else, if its really bad, I tell them how it is. But seriously man, you can do better. More effort next time, and you have a sure winner