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Actually, here's a fix from the amazing Schwartz Edmisten:


//Shrink Your Logo
.header-announcement-bar-wrapper .header-title-logo img {
    transition: max-height 140ms ease-in-out
.header-announcement-bar-wrapper.shrink {
  padding-top: 20px!important;
  padding-bottom: 20px!important;
.header-title-logo img {
    max-height: 40px;


Source:  https://schwartz-edmisten.com/blog/shrink-logo-on-scroll-in-squarespace-71

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