He sounds like an idiot to me but at least he was honest and didn't mess you around. Its now upto you what you want to do with the answer he gave you, do you want to stick around for when the thing with the girl he likes more doesn't work out so he comes to you or do you want to move on and find a guy who thinks of you as number 1 not number 2?
If you really loved and cared for yourself you would forget about him, you can do so much better

Easy to say but I've had plenty of my share of relationship/dating troubles, its never easy but if you don't love yourself who will love you?