Arsenal manager Mikel Arteta said he could not be prouder of his players despite crashing out of the FA Cup to 10-man Manchester United on penalties on Sunday.
The Gunners enjoyed a man advantage for over an hour after Diogo Dalot was booked twice early in the second half.
Bruno Fernandes had fired United in front but Arsenal levelled within seconds of Dalot's departure through Gabriel Magalhaes.
However, a familiar lack of killer instinct in front of goal cost Arteta's men as another chance to end a five-year trophy drought slipped by.
Martin Odegaard saw a penalty saved by Altay Bayindir before Kai Havertz and Declan Rice missed huge chances to win the tie in 90 minutes.
After a goalless 30 minutes of extra time, Havertz was the only player who failed to score in the shootout as United's reserve goalkeeper Bayindir made another splendid save.
"It was unbelievable," said Arteta. "(Based on) the performance we deserved to win the game by a mile, but the reality is that we are out and the only thing we will be judged on is that."
Arsenal have finished second to Manchester City in each of the past two Premier League seasons.
But they have so far failed to live up to expectations this campaign to kick on to another level.
Arsenal trail Liverpool, who also have a game in hand, by six points in the Premier League title race and were beaten 2-0 at home by Newcastle in the first leg of their League Cup semifinal.
Arteta, though, launched a passionate defence of his squad with one eye on Wednesday's north London derby against Tottenham.
"I love my players, I love our team and I love how good they are," added the Spaniard.
"In 1 000 games (like this) you lose one and it was this one. But it is part of our industry, our game and we move on because we don't have time and on Wednesday we have a massive one."
Victory was another sign of progress for United boss Ruben Amorim after his side came from behind to secure a 2-2 draw at Liverpool last weekend.
The Red Devils had to defend for long spells even before going down to 10 men.
"We have to compete no matter what the situation and we competed today," said Amorim.
"They had more chances but I think we deserved to win the way we played and the way we fought."
United's reward for reaching round four is a meeting with a familiar face as Leicester boss Ruud van Nistelrooy returns to Old Trafford.
The Dutchman took charge for four matches as caretaker boss prior to Amorim's arrival in November.
Amorim decided against retaining Van Nistelrooy as part of his coaching staff but said he is looking forward to speaking again to United's legendary former striker.
"I'm looking forward to speaking with him. He's a class guy," added Amorim.
"But we need to win! Maybe he will be divided - he loves this club!"