Algeria was crowned Africa Cup of Nations champion for only the second time in its history, edging past Senegal thanks to Baghdad Bounedjah's early deflected goal.
After going behind, Senegal dominated for the remainder of the match but was unable to find an equalizing goal.
Midway through the second half, it looked as though Senegal had been handed a lifeline after referee Alioum Alioum awarded a penalty for handball.
However, after being advised by the Video Assistant Referee (VAR) to review the decision on the pitch side monitor, Alioum overturned his original decision.
It was yet more heartbreak for Senegal, which is still yet to win the greatest prize in African football.