Which settings to make underwater objects less blurry?

@mcrudd Thanks for the pictures. Mine is fully restored, though. So it has nothing to do with that.

@izecson I fixed it in the boot menu. 3D settings were as you said.

I made a video... which looks way worse than in game. Much darker and fuzzier, but you can still see the effect I'm talking about. It's like being drunk or seeing something with the wrong glasses ;-)
https://youtu.be/ikCYCGtqA1o
Edit: I tried the same settings as you, mcrudd.