My drawing/sketch/pencil icon appears in my iOS Notes app, even when the Pencil is not present or connected.
Something is wrong.
Go to your iOS App Store and locate/search for the Apple Notes app.
To get the app to appear, you need to type in Apple Notes in the upper app search box, under Search, in the iOS App Store lower menu.
Once you can confirm that the Apple Notes app is present for re-download from your iOS App Store,
Delete your iOS Notes app from your iPad.
Then re-download a fresh copy of the iOS Notes app from the iOS App Store and see what you end up with, within the freshly downloaded/installed app.
Good Luck to You!