Kakashi is awesomeness.
My favorite character, and favorite anime, are different.
My favorite anime, for ones I've completed, is Death Note. It's a bit cliche, but that series was just really interesting to me, and it was cool to see an intelligent killer match wits with an equally intelligent detective. Plus, I love series that are not morally black and white.
My favorite character, though, is Nicholas D. Wolfwood from Trigun. He is badass, that cross is awesome, and I love his character of being someone who is good, but willing to do morally ambiguous things if he deems it necessary, even if others disagree. And his character arc was believable and interesting to watch. Plus, he had one of the best quotes I've heard from an anime.
"We're nothing like God. Not only do we have limited powers, but sometimes we're driven to become the devil himself. What's your answer this time?"