It's pillow-shaded. Don't shade in gradiations of a bunch of colors like that, it makes the shading blurry and indistinct. When you're shading, just make big areas of color (think like in cell-shaded anime.) After that, you can add more colors, but start with just a few.
There are some really good Touhou pixel art videos on YouTube if you want to get a look at how someone works while doing pixel art in the style you want.
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Here's one.)
The sprite is pretty cute, otherwise. I think the shading is your biggest problem right now.

Keep working at it! Hope I've helped~