Ole Gunnar Solskjaer refused to give up on the title after seeing Manchester United send City crashing to a shock defeat.
Goals from Bruno Fernandes and Luke Shaw helped United end City's 21 game winning streak as Pep Guardiola's runaway league leaders lost for the first time since November.
United still trail their neighbours by 11 points with 10 games to go – but Solskjaer is not about to wave the white flag.
He said: "We need to focus on ourselves and be a better Manchester United.
"It's a marathon. It's been a relentless and challenging season and we just have to keep going. Go again. I feel we are s better team than 18 months ago, more robust and resilient.
"The lads worked their nuts off. They (City) are so far ahead you can't really think about anything but making sure we win our games and see what happens."
Guardiola congratulated United and admitted he was expecting to see headlines for all the wrong reasons for a change.
But he urged his stars to get back to winning ways as soon as possible, starting with Wednesday's visit of Southampton.
Guardiola said: "It was a fantastic game. United make incredibly high pressing and they are so fast on the counter.
"We played good. Unfortunately we couldn't be clinical up front, so we congratulate United.
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"We will be the news because we lost. But the news is 21 victories in a row. There are still 30 points to play for and we have to start to win again.
"That's football. Sometimes it happens. We played much better than the game against West Ham which we won.
"It's always the same. We win a game and then move onto the next one. It's the same here. We lose this so we go to the next one. It's a lesson. Even at 0-2 we played really well."
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