The Reds played out a goalless draw with FC Porto in the second leg of their last-16 clash at Anfield on Tuesday night last week.
Liverpool FC eased to a 5-0 win over the Portuguese side in the opening leg at Estadio do Dragao last month.
Manchester City secured their place in the Champions League quarter-final draw thanks to a comfortable win over Basel.
The Citizens lost 2-1 to Basel at The Etihad on Wednesday night but were 4-0 winners in Switzerland back in February.
Pep Guardiola’s side are sitting 16 points clear at the top of the Premier League table with nine games to go.
However, Liverpool FC are the only Premier League team that have beaten Manchester City in the current campaign.
The Reds were 4-1 ahead at Anfield before the Citizens rallied to eventually lose 4-3 back in January.
Former Arsenal defender Keown is hoping that Liverpool FC and Manchester City can meet in the Champions League final.
“If you dare to dream, we could well have a Champions League final of Liverpool versus Manchester City,” Keown told the Daily Mail.
“It is not inconceivable that Liverpool could go on to win it. In 2005, they finished some 37 points behind champions Chelsea in the Premier League but beat them in the Champions League semi-finals.
“If City came up against Liverpool in Europe, they would find themselves under extra pressure. Victory for Liverpool would undermine some of City’s domestic dominance.
“This draw could decide who wins it. I really hope Liverpool and City are kept apart – and I do not think Real Madrid would be too keen to face either.”
Liverpool FC haven’t won the competition since 2005 when the Merseyside outfit beat Serie A giants AC Milan on penalties.
The Reds lost 2-1 to Milan in the Champions League final in Athens two seasons later.
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