While Manchester City were already big favourites to win the Premier League by virtue of having a superior goal difference and a game in hand, Manuel Pellegrini's men were given a massive helping hand by events at Selhurst Park on Monday.
Liverpool had been in complete control after goals from Joe Allen, Daniel Sturridge and Luis Suarez put them 3-0 up after 55 minutes.
But Damien Delaney pulled one back in the 78th minute before Dwight Gayle's double earned Palace an unlikely share of the spoils to leave Liverpool one point clear of City, who have a game in hand prior to the final weekend of the season.
Rodgers pointed out that Liverpool have still enjoyed a fine campaign, having finished seventh last time out, yet could not hide his disappointment.
"We went top (after the draw at Palace) with a game to go in the season and we are sitting here devastated having finished seventh last season," he said.
"Last season we needed to get better and we've got better. We are on 99 goals and for us to keep improving like we have been gives me immense pride.
"When we sit down at the end of the season, we will reflect on it and see that this has been an outstanding season.
"But that doesn't take away the pain now because we have drawn a game we should have won."
Asked whether the title had gone, he added: "For me, we needed to win to keep the pressure on.
"Obviously it was still in the hands of Manchester City so us winning would have given them a little bit of pressure.
"Everyone will look at Manchester City's squad and look at them as the team that will go on and win it."
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