should I be upset?

So I started talking to a guy that I met from a friend and we instantly clicked. I didn't know my friend dated him about 6 or 7 years ago when I found out I told her and she said it was fine if I dated him since she was over him but as soon as we broke up she started texting him and now they're back together and she didn't even tell me I had to find out for myself and it absolutely broke my heart. I told her I still had feelings for him but she didn't care she said he hates me and I don't deserve him because she's way prettier than I'll ever be. Am I allowed to be mad? Would you consider her a "friend"? Or should I stop being friends with her