Apple ID Sign-in location wrong

A possible reason for an incorrect location is explained in the section titled, "The first time that you sign in with your Apple ID on a new device" by clicking on the link for the support article 'Two-factor authentication for Apple ID' --> Two-factor authentication for Apple Account - Apple Support and in Reject unknown sign-in attempts - Apple Support

"The notification might include a map of the approximate location of the sign-in attempt. This location is based on the new device's IP address and might reflect the network that it's connected to, rather than the exact physical location."

If you're connecting with wifi and not cellular, and the Internet service provider has their headquarters in another location, it may report the service provider's location and not where you are located. If you're using a VPN, the location could be the VPN server's location.

I have the same happening, it is here always stated near Amsterdam, the Netherlands. I live in the Netherlands but not near Amsterdam

I guess this is about location services not have been allowed for everything