I did notice the animation was very different than usual. Most western people were pissed off about it too, they prefer the more traditional form of animation that everyone in North America is used to seeing. To tell the truth, the form of animation you saw in the episode is more common than you think. At times, it reminded me of Ninja Scroll (movie) and even Akira as well.

Next Episode will probably be mostly flashbacks because it showed that in the previews. And Sarutobi will probably prepare whatever jutsu he is planning on using too.

One thing I also found interesting about this episode, is that the voice actor who plays the younger Orochimaru is the same person who plays him disguised as that Rain Genin from the 2nd Exam.