How to use ATTiny PB5 RESET pin as GPIO
If you take a look at the datasheet for the ATtiny13, you'll see that the reset pin can be used as a "weak" I/O line, meaning it can't perform the same as other I/O lines. On page 140, there are graphs showing the current sinking characteristics vs the output voltage; notice how much less the values are than the other I/O lines shown in the prior pages. Are you operating within the specifications?

Other things to check:


Have you tried to talk to the chip since to verify that the RESET line is disabled?
Do you have verification that your code was actually programmed to the chip? (AVRDUDE output)
Are you sure your series resistor value is correct?
Are you sure you have your LED in the correct orientation?


As noted in the comments, using the reset line for I/O means the only ways to reprogram your chip are with a bootloader or "High-Voltage Serial Programming" so it isn't something you should do unless you are out of I/O lines and have an alternative means of programming the chip.

Also of note, you have defined F_CPU to be 8MHz, but your low fuse Value of 0x6A implies that the "Clock divide" fuse is enabled, so your CPU frequency is actually 1MHz.

A few final notes:


It's always a good idea to "decouple" the VCC line with a 0.1uF ceramic capacitor to GND
You don't need a "return" statement from main in embedded systems. Where would it return to?
I'd suggest using the pin macros such as _BV(PB5) or (1 &lt;&lt; PB5) rather than the explicit 0b0010000 - it compiles to the same thing
rather than set, delay, clear, delay, just toggle the pin as such:

PORTB ^= _BV(PB5);
_delay_ms(600);