The monster is the worst part about this piece. I was trying to make sure the whole thing looked round enough, that could be what helped give it the pillow look. I really want to be able to use dithering right, but I think I'll be avoiding it in any small pieces for a while. Looking at this even now makes me want to redo so much of the monster, Also I didnt like how the trees at the top turned out, but I'm not sure what I could have done to make them better.
I totally agree with anodomani. Also, I think the monster's shading comes very close to pillow shading (no good). Try to move the highlights more in the upper right corner of the monster, as you did with the city.
The city looks really cool! the monster has to much dithering though
Lol. I like the subject matter of your pixel pieces.