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Everton registered a stunning 2-0 win against Liverpool at Anfield to move within touching distance of a top-four place in the 2020-21 Premier League.
Goals from Richarlison and Gylfi Sigurdsson either side of the break helped the Toffees record their first win at Anfield in 22 years. The Reds, meanwhile, have lost four successive home games for the first time in almost a century.
Carlo Ancelotti got his tactics spot on. as an uninspiring Liverpool failed to make an impact on the game. They had their chances, but Jordan Pickford was at his imperious best.
On that note, let's have a rundown of five major talking points from Liverpool's defeat against Everton.
#1 Everton's early strike jolts Liverpool
Quite often, the best of teams tend to ease their nerves in marquee games like a derby and are caught napping.
That's exactly what happened to Liverpool, who were caught unawares by a lively Everton side in the game's opening exchanges.
The visitors won an early corner that eluded everyone in the box. Fortunately for Liverpool, Ben Godfrey failed to punish Liverpool for their sloppy defending.
A few seconds later, the Toffees again took the attack to Liverpool. Abdoulaye Doucoure was especially fabulous in an advanced role for Everton, winning the ball high up the pitch with quick, sharp counter-pressing.
Once he teed up the creative James Rodriguez, the Colombian spotted the perfectly timed run of Richarlison, who got on the wrong side of Ozan Kabak in a flash and fired past Alisson's far post to hand Everton an early lead.
#2 Everton's direct football troubled Liverpool at the back
Ozan Kabak should never have awarded space to Richarlison for Everton's first goal. The Turkish defender switched off for a split second, which allowed his counterpart to run beyond his back and open the scoring.
The win-back from Doucoure and an inch-perfect pass from Rodriguez painted a glossy picture of Everton in the first half.
Liverpool soon eased into possession, covering a lot of ground with speed and committing bodies forward. However, their overload in passing and crossing did not affect the Toffees, who kept their citadel intact.
Doucoure's physicality and Rodriguez's tricky yet assured footwork ensured Everton kept hold of the ball whenever they won it back. With Richarlison getting released in the turnover of possession without much ado, Liverpool failed to deal with a lively Everton attack.
Lucas Digne also joined Everton's forward forays and getting into crossing positions to keep the Liverpool defence on its toes.
#3 Everton's midfield erodes Liverpool's potency
Liverpool had large chunks of possession in the first half but saw their play broken down by Everton's deadly midfield trio of Andre Gomes, Abdoulaye Doucoure and Tom Davies.
The visitors were not afraid to put their body on the line, lunging into tackles and playing fearless football. Gomes, in particular, received multiple warnings from the referee and also picked up a yellow card for a foul.
Mason Holgate and co. were kept busy without a doubt, but it was the recovery of the ball by Everton's midfielders that disrupted Liverpool's fluency.
Davies, especially, was hard with his tackling, as he read the game well, intercepting many a Liverpool pass in midfield.
#4 Sadio Mane provides spark for Liverpool
Liverpool, arguably the last team to sit back after an early sucker punch, came out of the tunnel with a real attacking intent.
With Trent Alexander-Arnold and Andy Robertson peppering crosses into the box, Liverpool kept hold of the ball for longer periods in the second half. Sadio Mane, in particular, was threatening with his pace and movement inside the Everton box.
An early header off a Robertson cross tested Jordan Pickford for the third time in the match. Only a couple of minutes later, Mane ran beyond the Everton defence, urging Alexander-Arnold to play a through ball.
He pulled away from Holgate again, but the Everton centre-halves were as alert as they could be. They did not just hold Mane up, but also tracked the onrushing runs of other Liverpool midfielders whenever Mane tried to bring them into play.
Everton continued to do what they did in the first half, threading passes beyond the Liverpool backline and creating excellent counter-attacking opportunities.
One such chance led to Dominik Calvert-Lewin bundled down by Trent Alexander-Arnold in the Liverpool box, resulting in a penalty for Everton.
Gylfi Sigurdsson stepped up, and calmly slotted in to double his side's lead on the night.
#5 An injury-ravaged Liverpool could struggle to finish in the top four
Liverpool may have surrendered the title already: they have lost four matches on the bounce and have not won in the league at Anfield since December 16. There have been various narratives on what has gone wrong with Liverpool this campaign.
The Reds have only managed a meagre eight points from their last ten Premier League games. They are staring down the barrels of an unconvincing Europa League spot or no European football at all should things continue the way they are.
Liverpool have enjoyed the lion's share of possession in games but have been unable to find a way to feed their devastating front trio of Mane, Mohamed Salah and Roberto Firmino. Injuries to key players have not helped their cause either, with Jordan Henderson the latest to be added to the treatment room.
Jurgen Klopp has a lot to worry about, as Liverpool were tactically outclassed yet again. In fact, Everton could leapfrog them in the Premier League table should they take a point or more from their game in hand.
