I have four very beautiful skeins of hand dyed yarn. So beautiful in fact, that I am having trouble winding them into balls, let alone knitting them up. But, at the end of the day it is just yarn, right? Right? Just say it is.
I asked ravelry and very pretty things came up
In general you need to look for patterns that will use the colors to their best advantage, stitches like moss, garter and slipped stitches usually work really nicely with hand dyed yarns. Also look at the length of the color repeats, are they really short, long or just medium? Try a test swatch to see how many stitches before the colors change, try an large scale swatch if you are still unsure.
Most sock yarn skeins are 400 yards, that is enough to knit a small shawl, socks, hats, baby items and little toys.
Be brave, after all it is beautiful yarn that will be fun and enjoyable to knit.