Liverpool have lost ground in the race for Champions League football after slipping up at home to Crystal Palace for the third consecutive season.
A brace from former Reds striker Christian Benteke helped the Eagles to a 2-1 win at Anfield and boosted their Premier League survival hopes in the process.
Liverpool started the match brightly and took a deserved lead courtesy of an impressive free kick from Philippe Coutinho, who curled a strike over the wall and beyond Wayne Hennessey to make it 1-0.
The Reds continued to dominate possession and had the chance to double their lead moments before half time when Emre Can let fly, only to miscue his effort and send the ball wide.
Jurgen Klopp's men would rue their missed opportunities as Benteke pounced right on the stroke of half time, the Belgian thumping the ball home from close range after being lined up in front of goal by Yohan Cabaye.
Liverpool came out swinging in the second period and had numerous chances to restore their advantage, coming closest on the hour mark when Hennessey denied Roberto Firmino in a one-on-one situation.
The hosts, however, were hit by a suckerpunch in the 74th minute when they failed to clear an Andros Townsend corner, allowing Benteke to nod the ball beyond Simon Mignolet and into the net.
Palace's third win in a row at Anfield moves the Eagles up to 12th place in the table with a seven-point cushion separating them from the dropzone.
Liverpool, meanwhile, could drop out of the top four if the Manchester clubs win points in their games in hand.
