I don't think that anything is going to happen to Pak team morale. They have put up a decent show and it was a good match. Media is here to make money as it is a commercial entity.
For Pakistan
"just stand up to India and fight" is their victory or rather Pakistan establishment consider it as their victory.
It is not only in sports but in all walks of their existance. Be in the UN or on the LOC, be it in Nuclear technology or missile technology - their moto is stand up to India somehow as winning aginst India is impossibe. Just stand to them and prove that Pakistan as a nation is alive. If Pakistan can withstand India, it means Pakistan remains alive and that is their victory.
Be it 1948, 1965, 1971 or Kargil - Pakistan merey managed to stand up or rather was able to withstand Indians. And Pakistan always claimed victory in being able to do so.
What is not understood by Pakistan is that Indians do not wish to give them the last push and a death kiss. Even If India wishes that, Pakistanies have many fathers to save them from complete defeat who come to save them with big fleets or amass big force on India's Northern bordrs, provide money and shelter to their Jihadi machinary.
Under those circumstances, Indians only should keep reminding them that they can never be a match for India - that is good enough - that will surely and certainly make them believe that Pakistan was a big blunder and Pakistan is a false entity. Pakistan should be reduced to the status of a vesal of India which can never match India.
I am sure, No one wants that Jihadi population and that territory..
Keep defeating them in Hocky, cricket, Kabbadi, Wrestling and above all in terrorism.... the objective would be achived. Pakistan would decay in self hatred.
At psychological level defeat in hocky is as good as defeating them in Kargil. The massage of defeat or worst the feeling that they can not and should not match India must be put in their Jihadi minds constnatly and repeatedly. The day their defeatist minds accept their secondary position, there will be peace and prosperity in the region.
That would solve all problems surrounding around creation of Pakistan.