DJI Mavic, Air and Mini Drones
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Wanna Take Me Higher, Ya!

Supposedly that will reset the takeoff height to zero, giving you another 500m to climb higher from there. But there are all sorts of risks in doing that.

If the drone is already 500m higher than you, it's unlikely you'll have direct line-of-sight to your chosen landing ledge. You'll be able to see it from your drone's camera view with the camera aimed straight down, but the video and control signal may well be interrupted on the way down. When that happens, the drone will go into its configured failsafe procedure.

If you have it set to Land upon signal loss, the drone will continue straight down to the chosen landing spot, but you'll have no signal to restart the motors and take off again.

If you have failsafe set to its default Return-to-Home, it won't land up there at all, but will instead try to RTH when control signal is lost. Your RTH height should be configured to 500m. If configured to anything lower than that, for example only 60m, and the drone is already well above that height, upon loss of signal it'll just turn straight for Home at whatever height it's currently at. Hopefully it's not behind any trees at that point.

Does your Air2 have obstacle avoidance that'll automatically make it climb during RTH if it encounters trees on the way? Even so, it'll never climb higher than the 500m hard limit. So be careful when nearing that height limit.
I think your last statement is wrong. I do have obstacle avoidance and it does a great job doing the RTH thang. But resetting its homepoint (rise 7 ft and wait) zeros it to that point. When I took off for that ledge, I started here, on the lake, at zero.