When importing pixel art in Godot, the sprites can appear blurry due to default filtering mode set on the Sprite node

Fix for a Single Sprite

In the Inspector tab under CanvasItem β†’ Texture β†’ Filter set it to Nearest to get the clear image.

Fix for a Project

To change the default filtering for the whole project access Project Settings β†’ Rendering β†’ Textures β†’ Default Texture Filter and change from linear to nearest