When seeking for some good movies from the early 1910s I found an animated short which really blew me away. The original name is in Russian (and hard to remember) as that's the creator's nationality I stick to its English name: The Cameraman's Revenge.

The animation is not done with puppets but real bugs. Sure they are dead but you wouldn't say so if you see how fluently they are moving. The setting is like our world and they act and interact like real humans. It feels so natural sitting on a couch, painting, driving a car or bike, carrying a suitcase etc. And there's even a story of adultery and revenge. See for yourself: