Holding a 2-1 advantage from the first-leg Copa del Rey tie, the Catalan giants appeared to have settled the contest thanks to goals from Pedro Rodriguez and Dani Alves.
Madrid though, epitomized their battling qualities and clawed themselves back into the game thanks to efforts from Cristiano Ronaldo and Karim Benzema, although their valiant effort proved in vain as they crashed out of the competition 4-3 on aggregate.
Speaking after the encounter, former Madrid striker Butragueno praised Jose Mourinho's charges for their determination and mental resolve.
"The team has shown great strength and have fought to the end. We should have won the match and the tie, but football did not want to reward Madrid," he remarked.
"The difference has been in the Ozil shot and that of Alves. One goes in, and another hits the post."
The former Madrid striker also reassured that Mourinho's future at the club is not in jeopardy and insisted that the Portuguese would remain at the Santiago Bernabeu.
"We are very happy with Mourinho, our desire is to continue with this for two more seasons, which is what is signed. To our knowledge, Mourinho is very happy here," he added.