Diagram not-to-scale.
The point I am trying to draw attention to is the axis of the observer's line of sight. (The centre, dotted red arrow), and the observed angle of the arc of the horizon is perpendicular to that.
A camera would show this by projecting the curve onto its focal plane, which is perpendicular. Closing one eye would also achieve the same effect - by removing any clues about distance and foreshortening.
@ScarBest: This is why I think your yellow line annotation is incorrect. But I may be misinterpreting you.
In diagram A, the observer's line of sight coincides with the
centre of the circle - the horizon equidistant in all directions. And the viewing angle of the horizon is highly
acute (
magenta) not perpendicular.
In diagram B, it lines up with
the horizon's near edge, and is perpendicular to it (
magenta). Only a portion of the horizon is visible, most of it being off the bottom of the observer's field-of-view.
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