[vcf-midatlantic] [OT] Low resolution high color games = bad?

Hey folks, I've always felt that the mid-90s when games were still fairly low resolution (320x200, 320x240, sometimes 640x400) but started having access to 16-bit and 24-bit color palettes, the graphics tended to look very bad/blurry. This contrasts with a few years earlier where you had the same resolution but less colors so it was easier to 'see' what was going on in a game. For me there was a ratio -- at 1024x768 - 65,536 colors is fine, but 320x200 -- anything more than like 256 colors or so becomes too much and makes things hard to distinguish. The 'too many colors at low resolution' kinda turned me off gaming for a little while in the mid-1990s. Does anyone have similar thoughts/experiences?