I think you're being a bit too bold on this one.
I think we'll have to agree to disagree here, man. FFS is just a little too old-school for me. It's not a bad game, by any means, but I never really got into Fatal Fury (other than FF1 when it was in arcades) until Real Bout. FFS just isn't my kind of fighter. So I have to stand by my statement.
And you're right about the tragic thing. LB, as a story, is a tragedy on many levels. Betrayal (whether real or imagined), the loss of innocence, exile, the spectre of looming death, the quest for vengeance... all of these things pervade the game for most characters. Hell, Setsuna's backstory alone is enough to creep a lot of people out. That's why there are more lighthearted characters, like Akari (much as I despise her), Juzoh and Amano.
But think of it this way. If a game... a
fighting game, no less, which isn't exactly long on rich, evocative narrative, can make you feel something that deeply, that says quite a lot about its quality as more than just a mere piece of violent entertainment, wouldn't you agree?