This is quite a simple task and therefore I will go with the lowest figure in your budget. Quite frankly you will have to think about modernising your logo, since it is screaming "90's" all over the place. If you want to get in bed with web 2.0 services, the profile picture should match the style of the site and therefore I would recommend a modernised kind of type.
What I offer:
1. 500x500 pixels Twitter profile picture, guaranteed readability at 48x48px. Colours of type and design will be red and blue/cyan, white background, overall web 2.0 style without your bevel from the original logo.
2. 200x300 pixels Facebook profile picture, guaranteed readabilty at 50x50px. Colours will be the same as above, only the blue will match Facebook's. Style will also be web 2.0ish.
You can provide the original font if you insist on using it, I can offer an alternative font matching your style as well as modern type logos.
Many thanks for reading
Mervyn