When running sp_who2, it appears one of my SQL commands is blocking but waiting on a process that is "Sleeping" and "Awaiting Command". This doesn't make any sense.

Any ideas what might be causing this? I know the DELETE is running inside a transaction that previously inserted a lot of rows into the table, could that be the problem?
You probably have an open transaction on SPID 98. A blocking SPID does not have to be active
Try this, look at the open_tran column
Following on, this script gives you open transactions, last SQL and plan.
And have a read of KB 224453 for good measure