Cute. Almost yuri (yep I have low standards)
If it looks like a girl and it acts like a girl, then it's a girl (rule doesn't apply on r18)
Regarding upscaling - imo it's not that bad right now, but waifu2x with 2x upscale and slight jpeg denoising should be alright. For software
this should work. (I've used
the one it's based on before but it runs from console (still kinda easy))
Thanks for the translation!