(although i wish to move across the country to texas with him after wrapping up school)

Don't you realise how crazy this sounds? Yes, you can fall for someone over the internet, however, fact is: you don't know each other at all, and at your age, it's ridiculous talking about moving to another state for someone you've not met once. At your age, your education/career should be your number one priority.

Hes been doing this since before i even met him and being in a relationship it just feels so wrong to me to be practically flirting and having fantasy intercourse with "friends".

You're allowed to have boundaries. Sounds like you are simply not compatible.