The quote "I knew what the old man felt, and pitied him, although I chuckled at heart" reveals the narrator's complex emotional state. While the narrator expresses that they understand and feel pity for the old man, the fact that they also "chuckled at heart" indicates a sense of amusement or even cruelty in their attitude. The juxtaposition of pity with dark amusement suggests a lack of genuine compassion. Therefore, the best answer from the options provided is:
D The narrator is cruel.