Acharya Prashant explains that suffering arises primarily from internal resistance to a situation. He clarifies that while situations are neutral, they become painful because an internal entity rejects them and desires something else. By experiencing suffering deeply without resistance, one removes the internal observer that categorizes events as 'bad' or 'unwanted'. When there is no one inside to oppose suffering or invite pleasure, both can be experienced fully without causing distress. He emphasizes that suffering is not inherent in the situation itself but is the name given to the act of resisting what is happening.