The Reds found themselves 2-1 up in the 73rd minute after goals from Daniel Sturridge and Gerrard cancelled out Edin Dzeko’s opener at Eastlands.
But a late error from Pepe Reina allowed Sergio Aguero a sight on goal, with the Argentina striker superbly lofting a shot into the empty net to earn a point for Roberto Mancini’s title hopefuls.
Sunday’s result followed Liverpool’s 2-2 draw at Arsenal in midweek – and Gerrard is convinced that the Merseysiders have shown they have what it takes to finish in the top four this season.
“We can take a lot of belief from the way we’ve performed against Arsenal and Manchester City,” Gerrard told the Liverpool Echo.
“It was similar to the Arsenal game in that I felt we did enough to come away with the three points.
“City are a good side and to go away to the champions and get a point is a good result, but after the way we played we’re disappointed not to get the win.
“We need to build on this and I’m feeling really confident about our ability to move up the table.
“We might not have got the results we wanted against the top sides but every time we have certainly matched them if not bettered them in games.
“We just need to try to cut out our mistakes and turn those draws into wins.
“No disrespect to the sides we’ve got coming up but if we keep playing like that then we can certainly put in a challenge for fourth place.
“If we perform like that we will pick up a lot of points between now and the end of the season.”
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