Gerard Houllier delivered an upbeat message after seeing his Liverpool side held to a disappointing 1-1 Champions League draw with Swiss champions Basle at Anfield.
Czech youngster Milan Baros looked to have set the hosts on their way to the expected victory over Christian Gross' men but a surprise equaliser from Julio Rossi - and a string of missed opportunities - condemned Liverpool to a draw.
The result, nevertheless, marked Liverpool's first point of their Champions League campaign following the defeat in Valencia - but Houllier insisted his side can still reach the second group stage.
He said: "Our next two games now are vital, we can still qualify.
"This was such a frustrating night. I feel so disappointed for the players because they gave everything and tried everything. We played some great stuff and should have been four up at least at the break."
And Houllier insisted Liverpool were denied a clear penalty in the final minutes when Danny Murphy's free-kick appeared to be handled.
The Frenchman said: "It was a clear penalty. It wasn't just ball to hand, it was a clear hand out from the player to stop the shot.
"We had plenty of chances. We deserved to win not just because of our chances but the quality of our football. I'm proud of our performance, we had the right frame of mind and the right approach.
"The group is still very open, and the next two games are vital. But I'm confident that the type of play we are producing will see us through."
Gross admitted his men had been fortunate to take a point after Liverpool hit the woodwork three times during an attacking onslaught.
The former Tottenham manager said: "We were a little bit lucky. They created a lot of chances but we never looked nervous and we kept our discipline. They had plenty of possession but you have to expect that at Anfield.
"We showed excellent spirit and I used two strikers because we felt we could come away with something. We certainly go home stronger than when we arrived."