I'd try bleeding it again if these guys are reccomending it. Bleed furthest to closest, rear passenger, rear driver, front passenger, front driver.
I'm still thinking you need to adjust the pedal height, but I'm not even sure it's adjustable, and can't really give you any help on how to do it. It should be pretty simple though right? A lock nut and an adjustment of some sort. I'm sure others know how to do it, if it comes to it.
Hang on, you say you can lift it up higher than it stays by itself, isn't the return spring supposed to hold it up against a stop? Have a look at the pedal spring, see if it's attached or corroded badly.