I do not think 4K 120Hz titles will be available soon. If at all there might only be few. Maybe next year or after that only.. Correct me if i'm wrong.
I agree with you though that a 4K 120Hz TV can make full use of the PS5's potential.
However, I guess the vast majority of us who have 4K 60Hz TVs should still be able to have good experience playing these games on their TVs.

well, very typical of Sony

we don't see any innovation in the next gen console

everything is just faster & prettier & bigger

But I applaud them on the usage of the high speed SSD, instead of just putting in a normal SSD.  It seems the high speed SSD is a lot more faster than those currently available in PC market, Spiderman loading time decrease from 15s to less than 1s is a great feat.  I hope no more long waiting/loading time in the new PS5 games to come.
But using SSD also gonna be a obstacle as well, it's still relatively expensive now(yes, it's getting cheaper) in dollar per gig, so I expect Sony won't be throwing in a 1Tb high speed SSD, probably a hybrid system, a smaller SSD for game loading, and a backup 1Tb or more normal HDD for game storage, similar to PC's practice.

On the prettier part, faster GPU with ray tracing, more realistic games, more eye candies, nothing much to look forward to as gamers beside prettier games, but for the dev it's a big deal, it seems ray tracing is easier to do and less GPU intensive compared to the traditional rasterization.

and 8K?  8K display is rare, and uncommon, not to mention finding a 8K content to go with it, the progression from 4k to 8k is extremely slow.  I doubt it gonna kick off during PS5's time.

You forgot the PS4 could do VR?