score:8
As CHX pointed out, you had a contract with the airline to go from A to B and as long as they got you to B more or less when you originally were scheduled to arrive, then they have fulfilled their obligation. If you arrived appreciably later than originally scheduled, then you may have cause for compensation.
The airline is not responsible for the original hotel booking, as you accepted that original flight routing knowing full well there was an overnight stop during which you could sit in the airport or book your own hotel. You choose the later.
The airline did provide accommodations in the new city because you were involuntarily re-routed due to delayed flights. That is the breadth of their responsibility for the overnight layover.
Can you get better compensation? Maybe, but if you have already accepted the points they offered, then renegotiation is not likely. If not try a polite letter with facts and figures not complaints and accusations.
Upvote:2
You have made a contract with the airline to transport you from A to B. Going through C was not part of the contract. It never is. They already did more than they are obliged to.
Also, did they pay you for the hotel where you got rerouted through? If so, then you paid for a hotel night, you got a hotel night, some miles and ... that's it. Perhaps of a lesser quality hotel night but still. Now, if they didn't pay for that hotel then there's something to talk about.