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@snottyotter
Fluid doesn't compress so if it's full it's full, any extra you get in the system due to hose expansion or piston movement will end up back in the reservoir or leaking out the lever, you can reduce the bite point by squeezing the lever with the wheel out so the pads sit closer to the rotor to achieve a similar thing but all these things reset as the pads wear and it returns to normal. It should work fine if it's bled properly and nothing is broken though, levers going back to the bar doesn't sound right. I like to bleed from the caliper up to the cup to take any bubbles with, then back to the syringe, if it doesn't work back and forth a couple of times then tie the levers down and try again after a decent break