The Clarets drew 1-1 with Olympiakos on Thursday night, which means they lost the tie 4-1 on aggregate.
But Dyche has taken some positives away from a disappointing result.
"I thought we dominated the game and dominated the chances. The biggest bugbear is you've got to take your chances. We created enough chances," said Dyche.
"I wanted our team to get back to their identity and I feel that clearly happened today. No disappointments, just learning. We were effective.
"I thought we had so many chances, it could easily have gone our way.
"It was an excellent performance, we created so many chances. Winning it was the least we deserved and we could have gone through but we didn't take our chances."