In a large mixing bowl, combine the all-purpose flour, baking powder, and salt. Mix well to ensure even distribution of the dry ingredients.
Pour in the warm water and 4 tablespoons of oil. Mix the ingredients together until a soft dough forms. If the dough is too sticky, add a little more flour until you achieve a smooth consistency.
Cover the dough with a clean kitchen towel and let it rest for about 30 minutes.
On a floured surface, divide the dough into small balls (about the size of a golf ball). Roll each ball out into a thin circle, approximately 1/8 inch thick.
In a frying pan, heat the 2 1/2 cups of oil over medium heat. To test if the oil is ready, drop a small piece of dough into the oil.
Carefully place the rolled dough into the hot oil, frying only a few at a time to avoid overcrowding. Fry each bunuelo for about 1-2 minutes on each side, or until they are golden brown and crispy.
Using a slotted spoon, remove the bunuelos from the oil and place them on a plate lined with paper towels to drain any excess oil. Coat them in a mixture of granulated sugar and ground cinnamon.
Serve your freshly made bunuelos warm, alongside a cup of hot chocolate or your favorite beverage.