I get that it is a successful test based on the goals they set out, but the cheering seemed staged to me. If that was my rocket, I'd be very upset that it came so close to total success but didn't make it. Maybe everyone at SpaceX is just super emotionally mature
If I worked on that project I would have been in tears of pride and happiness at the launch and how far it flew on the very first attempt. Assuming it is SpaceX staff being shown, I do not think the cheering is in any way staged. Lack of cheering would be strange if anything.
The thing you saw blow up was a prototype, a test vehicle and the first ever flight to boot. Do you have any idea how many prototypes get thrown in the trash when you're trying to figure out a physical product and how to manufacture it? If you loved every one of them you'd give up after a week. You have to be merciless and willing to scrap everything and start over if you want to get to production.
Why? This is just the public viewing area from where SpaceX own employees watch from. And they worked on this thing for years, seems pretty realistic that they would be exited.