The TwitchTV Android app received its first update today that resolves one of the biggest gripes individuals had with the app. We mentioned in our review how TwitchTV only played back lower quality streams regardless of how good your connection was. With today's update, TwitchTV now allows for a higher resolution option for devices running versions of Android prior to 3.2 Honeycomb.
Instead of presenting you with low and medium quality options, TwitchTV now offers streams in 240p, 360p and 480p resolution. The option to select the 480p resolution will depend on the native quality of the stream you're watching. TwitchTV broadcasters are usually good about mentioning whether their stream is in HD in their description, so use that as a reference point.
The app will also display videos in the last resolution you picked. Should you watch a video in 480p, then another in 360p, the next stream you watch will be in 360p.
I've found the quality to look a lot better in 480p. It's still pretty impossible to read small text, but the videos aren't nearly as blocky as they were before.