Need help advice for young love

If some people can give me advice it would really be helpful because I'm really totally confused about something.

I just turned 18 and my best friend is about to turn 16 in a couple weeks. I'm gay and he's bi, we're both guys. He's had several girlfriends, but no boyfriend, but always talks about guys that he thinks are cute. He was the recipient of an "experiment" with a friend this past spring but other than that he's a virgin.

The problem is that I really think me and him are in love with each other. We call each other "my love", we hold hands between the fingers, we spoon, we send kiss and heart emojis, we have a pillow at night that we cuddle with pretending it's each other and we try to dream about each other, and both me and him say we think about each other constantly and always want to be in each others lives and ache for each other when we have more than a few days apart. But a few days ago I told him that I think we're in love, but he disagreed and said that he doesn't see me as a lover only as a best friend and brother. I'm totally totally confused here. How is it possible that we behave like we're in love, but he doesn't see it or that he thinks it's just what best friends do (even though he's never done this with any other friend, and not even this much with a previous girlfriend), that they can be affectionate but not share physical love, and be so loving like we are but that it's not "being in love"?

Also he's really cute but I'm not. He says I have beautiful eyes, and that even though I'm not physically attractive I'm beautiful on the inside. Is it possible that he's just holding back admitting he's in love all because of how I look?

Please help. I'm confused and my heart is hurting from this because I don't know what to do or how to handle it.