Bernardo Silva acknowledged Manchester City's 14-point gap to Premier League leaders Liverpool is a "really bad situation" after Friday's dramatic 3-2 defeat to Wolves.
Liverpool – who have a game in hand on City – thrashed Leicester City 4-0 on Thursday to increase their lead at the top and Pep Guardiola's men were unable to make a dent in that at Molineux.
Despite having Ederson sent off in the 12th minute, City found themselves two up early in the second half thanks to a Raheem Sterling brace.
But Adama Traore inspired Wolves, scoring from 25 yards before setting up Raul Jimenez's equaliser in the 82nd minute – picking the Mexican out after capitalising on a woeful Benjamin Mendy error.
Matt Doherty clinched the win following a clever interchange with Jimenez, and Silva accepts City's position is frustrating.
Speaking on Amazon Prime, he said: "It is a really bad situation for us. A frustrating first half of the season.
"Nobody expected us to be this far away from Liverpool at this halfway point. We have to continue now.
"We know that winning the title is very complicated. I wouldn't say impossible but very difficult."
Guardiola's post-match comments struck a similarly exasperated tone as he practically ruled out a title challenge.
"It's big [the gap behind Liverpool] for a long time now," he said. "It's not realistic to think about it. The same question for a long time, but the same answer."