Yes, you’re incompatible. I see people on Quora all the time try to fool themselves into thinking a relationship without sexual gratification can work. I’m not strictly saying it can’t, but you’re setting yourself up for a lot of dissatisfaction and disappointment if you try.
Incompatibility issues can be worked through, but you have to have a much better reason to want to work through them than “I just don’t want to have to be single.” If you’re young, with no kids, nothing tying you down, do yourself a favor and don’t sell yourself short.
Trust me on this, relationships are hard enough even when you are compatible.