the main problem with shortstackers that no one seems to mention

[ChuckyB]

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One thing I am quite convinced of, but can't prove because I do not collect any statistics from my own or other games, is that the problem at PLO is the medium stack. With a medium stack I mean 50-200BB against big stacks who often have much more. There you can talk of disadvantages - anyway is that my feeling when I play.

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Rolf Slotboom advises when you play a medium stack that you min-raise any pot you're going to enter. It essentially doubles the blinds making a 40-120 BB stack play more like a 20-60 BB stack.

He also talks about exactly the problem you mention. In his section about his experiences moving to the 10-20 online game, he says if he bought in for the minimum ($400) once he got over $1,000 he found no benefit to playing that size stack. So he'd advise that you quit, or top up to the max buy-in.