Only one point separates these two giants of the league as Liverpool are in the second position in the league table with 40 points and the Cityzens are third with 39.
The match will also involve two of the finest managers in the world at the moment, Jurgen Klopp and Pep Guardiola.
They share a very healthy on-field rivalry which tracks to their Bundesliga days when Klopp managed Borussia Dortmund and Pep was in charge of Bayern Munich, the two title favourites in Germany.
Kick off: 11:00 PM (IST)
Venue: Anfield Stadium, Liverpool
The match will be telecasted LIVE on Star Networks and Hotstar.
Jurgen Klopp will miss the services of key player Philippe Coutinho who had picked up a knee injury in November. The Brazilian is due to return in the new year.
Defender Joel Matip too will remain out action due to a hamstring injury. Klopp is likely to keep his starting XI unchanged which defeated Stoke City 4-1 on Monday, December 26.
Pep Guardiola have several injury crises in his squad. Ilkay Gundogan is already out of action with serious knee injury.
John Stones injury last weekend against Hull City was like salt in his wounds. Stones suffered a bad injury and had to leave the field as early in the 18th minute of the match.
Star striker Sergio Aguero is still serving suspension imposed the by the FA. Pep Guardiola is likely to bring in last match's goal scorer Kelechi Iheanacho on the flanks in place of Nolito.
De Bruyne will continue to be the false nine upfront for the Pep against Liverpool. Overall we expect an end to end and exciting football match with a battle of two great minds.
Goalkeeper: Simon Mignolet
Defenders: Nathaniel Clyne, Dejan Lovren, Ragnar Klavan, James Milner
Midfielders: Georgio Wijnaldum, Jordan Henderson, Adam Lallana
Strikers: Roberto Firmino, Divock Origi, Sadio Mane
Formation: 4-3-3 (False nine)
Goalkeeper: Claudio Bravo
Defenders: Bacary Sagna, Nicolas Otamendi, Aleksandar Kolarov, Gael Clichy
Midfielders: Fernandinho, Yaya Toure, David Silva
Strikers: Kelechi Iheanacho, Kevin De Bruyne, Raheem Sterling
Liverpool 2-1 Manchester City