Speaking from a limited space that focuses on that very liberal movement, I would argue that the major reason that Nationalism was, at least seen to you, as liberal was because of the players. The Convservatives in the Early Modern Era were Royalists, whom were focused on having the Nation not be an independent entity but one which is derived and propelled by the King/Queen. Liberals were interested in a Nation derived from the people so democracy (liberal by act of not supporting the Monarchy). So at least I hope to clarify the air for the first part of Nationalism.