Is he a nice guy? Shouting at people when they are crying isn't a nice thing to do. And you reacted and tried to protect the children.
You sound, potentially, like someone who learned to deal with conflict by avoiding it, or by being agreeable. Which is not at all healthy. It's normal for someone who grew up in a dysfunctional home to want to avoid treading on eggshells but, sadly, that means you may have been pushing down your actual feelings/wishes just to keep up the "happy families" facade and avoid confrontation. Only you know whether that is actually the case. If your husband shouts at people who are crying and escalates arguments rather than trying to deescalate them then he isn't a "nice guy". You may just have learned to back off rather than poking the bear.
Sounds like you may benefit from some kind of counseling to work this stuff out and figure out why this is so upsetting for you and what may be causing these new confrontations. You may also benefit from understanding more about why you react to things the way you do, how you deal with confrontation, and your approach to boundary setting.
As for feeling bad about shouting: using a severe curse word and claiming the kids as your own (i.e. not "our" but "my") is troubling - it suggests some built up emotional hostility, and also that you thought they only way you could deal with the situation was to lash out - not try to deescalate it. One has to wonder what has happened in the past when your husband has told your children off in front of you for not doing what they are told?
It will be a good idea to figure these things out because your family dynamic will change significantly when your older child leaves home (presumably they are going to go off out into the world pretty soon for university or travel or to figure out what they want to do with their life?). You'll spend more time being a spouse and less time being a mother. And that will change the dynamics of home.
Ultimately you are doing to have to talk to your husband about this - and figure out why he was shouting even though people were crying, what his expectations are, what your expectations are, and how those match. If you need help communicating then counselling for both of you can be an option - it's something that even couples with great relationships do so they can make sure they are being good partners and also having their own needs acknowledged and met.