Am I Overreacting to a gift?

I (18F) was gifted a Lululemon tote bag. It cost over $100 and is covered in bright white fur. I feel horrible not only because of the price but mostly because it is not my style at all. I am extremely close to the person who gifted it to me which is why it hurts that they wouldn’t realize how it doesn’t match me whatsoever. Literal weeks before they gave this to me I joked about how ridiculous and overpriced Lululemon is (no hate to fans though). Plus, if I’d known they were going to spend money on that particular brand I would’ve chosen something practical like leggings. I don’t really carry bags that much but again, if I was going to get one I wouldn’t choose a bag that’s FUCKING COVERED IN WHITE FUR WHICH WILL IMMEDIATELY GET DIRTY. I mean holy shit. It’s so ridiculous. I tried to explain this in the nicest least awkward way possible to the person. I probably should’ve shut up though because if anything I just hurt their feelings and they didn’t offer to let me return or swap it. They basically insisted that it was perfect for me all along. I feel super guilty and gross when I look at it. I wish I could appreciate it somehow because it truly is cute, just impractical for me specifically. Idk if I’ve convinced myself that I dislike it and this is all for no reason, yet I’ve never had such a knee jerk reaction to a gift before. I know that this situation is absolutely not a big deal in the grand scheme of life which is why I don’t understand how to stop constantly obsessing over it. AIO? What should I do?