Well, to be honest that feeling probably wont go away. I feel envious of so many mega talented artists that im not even close to skill wise (and they would feel the same about their idols) Its all about dealing with those feelings. Im in no way an authority on pixel art but i feel like if you just force yourself to put your work out there and practice, you will make it. With me, i started to make a work flow that gets better results than just drawing straight ahead with no concept of what i want to make. For example when i plan a character, I try and make texture spheres that embody the colour schemes of that character. Just stick it out and never stop drawing, hope that helps.
*Trying to draw the Dragonrider*
How do I make a shitty boss look epic?
Im in the same boat, hes just a red dude with a halberd…
I use photoshop, i make the canvas low res and use the pen tool