The Blues cruised to a 5-0 triumph over the Eagles, whilst their nearest challengers in the Premier League – Liverpool and Man United – dropped points.
City’s superb win ended a run of disappointing results and the manager has urged his side to build on the performance as the season draws to a close.
“It is in our hands for a place in the Champions League,” Guardiola stated.
“In England, there are six teams full of quality and history, fighting for these places.
“This is unlike anywhere else in Europe. We have two more games at home – one more than Liverpool.
“We can enjoy ourselves a little bit [following the win over Palace] and then prepare for Leicester next week.”
While Guardiola admitted that a lack of clinical finishing has cost his side this season, the Catalan hailed his side’s defensive qualities.
The recent return of captain Vincent Kompany has provided a timely boost. The Belgian was on the scoresheet for the second time in four league games with a stunning strike against Palace, which delighted his manager.
“Every player has his quality,” Guardiola continued. “Nicolas Otamendi and Vincent Kompany are strong in the air and win duels but we don’t have enough guys to score goals.
“[Five games played in a row for Vincent] is a huge step. I spoke to him at the beginning of the season, saying we need to make small steps.
“Manuel Pellegrini missed him a lot last season and you can see that. He wins so many duels.
“[Against Palace], we discovered that maybe he can play as a striker!
“Hopefully he can last longer next season. We need to have back-up though in case this (his injury) happens again.”