You're citing an annex to the rules, stating that the drone can be flown in EXCESS of 120 from the surface of the earth, providing it's not more than 120 m above the pilot.
I have not installed the latest firmware so I can't say for sure, but section (e) is pretty clear.
‘Open’ category of UAS operations 1. Operations shall be classified as UAS operations in the ‘open’ category only where the following requirements are met: (a) the UAS belongs to one of the classes set out in Delegated Regulation (EU) 2019/945 or is privately built or meets the conditions defined in Article 20; (b) the unmanned aircraft has a maximum take-off mass of less than 25 kg; (c) the remote pilot ensures that the unmanned aircraft is kept at a safe distance from people and that it is not flown over assemblies of people; (d) the remote pilot keeps the unmanned aircraft in VLOS at all times except when flying in follow-me mode or when using an unmanned aircraft observer as specified in Part A of the Annex; (e) during flight, the unmanned aircraft is maintained within 120 metres from the closest point of the surface of the earth, except when overflying an obstacle, as specified in Part A of the Annex (f) during flight, the unmanned aircraft does not carry dangerous goods and does not drop any material; |