Earlier I said,
"One of the most obvious problems with that is the screen resolution. It has a resolution of 320x240 square pixels."
Here is a fun fact about having NTSC standard square pixels, and the NES color palette. The NES samples it's output video signal at 42.95Mhz, and the chroma signal is a square wave that is 12 subpixels longs, and 1 NES pixel is 8 subpixels long. NTSC standard square pixels require a 6.136Mhz pixel clock, which is exactly one 7th of the NES's video signal sample rate. So all that would had to be changed was changing the number of subpixels from 8 down to 7.
Of course, this will cause relatively more dot crawl per pixel, without filtering the chroma signal.