Clouds Incorrectly Render

Clouds viewed above or at their Y level appear to render incorrectly. Blocks will render in front of clouds, instead of looking transparent. Clouds will also render incorrectly at the top part of the screen when you're slightly below them. Clouds also have white stitching at their edges.

1. Tower up to cloud level
2. Look around
3. Look at cloud edges

(Sorry for side ways screenshots)