Slowing it down is a good idea, change the variable fps to something like 1 or 2.
This works (you'll have change the images loaded back to yours):
SetVirtualResolution ( 320, 480 )
dim iID[1]
iID[0] = 1
iID[1] = 2
LoadImage (iID[0], "Jellyfish.jpg" )
LoadImage (iID[1], "Hydrangeas.jpg" )
sID = 1
CreateSprite ( sID, iID[0])
posX = 50 ; posY = 60
SetSpritePosition ( sID, posX, posY )
SetSpriteAnimation ( sID, 40, 40, 10 )
fps = 2
PlaySprite ( sID, fps, 1, 1, 10 )
flag = 0
setprintsize(22)
do
if getSpriteCurrentFrame(sID) >= 10
flag = abs(flag-1)
setSpriteImage(sID, iID[flag])
SetSpriteAnimation ( sID, 40, 40, 10 )
PlaySprite ( sID, fps, 1, 1, 10 )
endif
print(getSpriteCurrentFrame(sID))
print(flag)
remstart
t = t + 1
print ( str(t) + ". Current anim: " + str(itel) )
if t > 50
itel = itel + 1
if itel > 1 then itel = 0
SetSpriteImage( sID, iID[itel])
t = 0
endif
remend
Sync ( )
loop