Rockshr,
I will answer the easier one first.
For me, my eyes detect very little difference between using 64 or 16 colors. I see more difference between switching between 8 and 16 colors. I use 64 colors, but in the grand scheme of things it really doesn't matter if you use 8, 16 or 64.
Your question on the Nature of the Bottom is a little more difficult. Are you looking at the Bottom Discrimination mode that TZT2 has or just trying to determine soft and hard bottom traits? To this point, what depths of water are you working in and what transducer are you using?
Snips