Hi, I had a very similar experience. I got distinctions throughout my MA then ended up with 66% for my dissertation and I was gutted. And then I got a fully funded PhD place! I think far more important than a few percentage marks on your dissertation, is whether you and your chosen topic area 'click' with the PhD supervisors, and that you write a strong application for the doctorate.
I was so upset by my MA dissertation mark, but I seem to be progressing fine through the PhD.
69/68% is really good by the way, and I think most supervisors will take a rounded look at your application and won't just focus on whether you happened to get a distinction. It will take a bit of time, but you will move past this disappointment and have future successes.