Last night I went to a friends sweet sixteen party and I met this one guy who is gay and I haven't came out yet and he asked me if I as dating my friend and I was like no and then he was like are you gay and instead of saying yes I said no but I kinda liked him and I know he liked me so should I become his friend because I dont know how people will start acting if I start hanging out with him So if this was you in this situation what would you do?
Sure you should become his friend. Even if it never goes anywhere past friendship, it's good to have friends. When you have him alone and you're more comfortable, you can just say something like, "You know when you asked about me being gay earlier? I actually am, but I didn't want it to be the talk of the party the other night, so I said no." Good luck, if you go for it.
I'm in no position to give advice, but if I was in your position, I'd go for it. Don't regret it, this could be your chance