thank you and im still beginning on spriting, also i know about the original phantome, i should have specified where it came from but i also saw one of his originals were being sold by someone who animated it so i thought since i was not even trying to make profit off of it like this guy who literally sold it for $35 (the creator approved) it wouldnt be harmful
Pixel overs or inspiration from individual smaller artists are generally ok, but
1) You need to
specifically link to the work of art used.
2) Search to see what their use permissions are.
You've already touched on it, but it's shown that he's sold
the right to use this creature to someone else already.
You must contact the person who currently holds the rights to use that creature and ask them for permission. I would say take it down until the proper permissions can be found.
plus i recreated it into a sprite so technically i am not using his original work
To be clear, your work and the original art are far too close to not consider it a pixel over or your original work. Even if you've recreated into pixel form, it still is based off the original artist's work, and the ip for this creature has been sold to someone else who you will also need permission from.