As someone who uses my stream archives for Youtube use for both my own channel and for LAGTV, I use the archive system very often.
Being able to watch an entire archived stream in one piece but then be forced to highlight the archive in several 1-2 hour chunks is frustrating and causes unnecessary issues. LoL games and SC2 casts suffer specifically as sometimes 4-5 minutes of a cast is forced to be on its own separate from the rest of the game on the next or previous archive section. This forces us who use the archive for Youtube purposes to either download the highlights, stitch them together in a video editor, re-process them, and re-upload them which makes using the archive almost useless sometimes.
A lot of Youtubers are transitioning to streaming and right now Twitch has an upper hand in that you can upload to Youtube directly. If this function was more fleshed out it would be a massive draw away from OWN3D who currently provides almost everything else better.
Even simply having the choice to either highlight it as one piece or several would be nice. Sometimes finding a one minute clip in a 12 hour stream can be annoying and so at that point the splits make sense, but there is a serious need for highlighting in one section.
I can't imagine this would be a complicated change, but it would be a massive help for those of us who use the archive frequently.