Heya there Mr. Prime!
I'm not sure what's going wrong in your case, as there's no picture resizing of any kind on the avatars. The size that you upload is what gets stored on the server, so any resizing is limited to the browser's effort to stick with the 96x96 box available. I tested myself with a 96x88 avatar, and it displayed pixel-perfect everywhere I looked.
Could you have uploaded a first (smaller) picture, then your 96x88 one? If that's the case, odds are that your browser's cache was still offering the old picture instead of the newer one, yet using the new size you specified. You then ended up with a stretched blurry picture. A quick reload usually clears that right now.
The admin formerly known as Dr. Cossack.
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"There are only three things certain in life: Death, taxes, and Teej's obsessions." ~ RisingDragon (still true in 2019!)