Normally when someone does something high status and people’s reaction is “who does this person think he is?” the person signaled lower status somehow via other factors or past behaviors. So this "counter-signaling" is really people acting the status level others consider appropriate.

For example, blowing your nose in a job interview is a high status move, but displays inappropriate status level. The fact you're interviewing for a job is evidence your status is lower than the interviewer's - stronger evidence then your high status move.