Seems like memory would be the only limiting factor here, i.e. storing both the previous and current frame, computing the difference between the two, then sorting the runs. My hunch is it should be possible with a large enough HDD for swap space (obviously you'd have to swap yourself) and waiting a day to render a short movie.

Edit: and now I realise you need a movie source, which in 1978 means a VHS tape most likely. Reading that and converting it to a sequence of dithered frames (or "just" straight 24-bit 4:4:4 YUV) will definitely need some special hardware.