Liverpool are just two points off the top after their empathic 4-0 victory over Southampton on Saturday , and the top three clubs are already five points clear of fourth-placed West Ham.
Keane and Carragher have been impressed by the form of Champions League holders Chelsea and 2020 champions Liverpool but still believe Pep Guardiola's City will defend their title and become English champions for an eighth time.
Former Manchester United captain Keane told Sky Sports : 'I kind of wrote off Manchester City last year and regretted it because they turned it on from November and won it so easily.
'At this moment in time, as brilliant as Liverpool and Chelsea are, I'd go with Man City.'
Former Liverpool and England defender Carragher added: 'It's been a good weekend for Liverpool but they've dropped some silly points this season so I'm with Roy, I think I'd probably just go with Man City.
'Liverpool have kept a few clean sheets but they've looked a bit open at times. I think Man City right now look really strong defensively. Liverpool are scoring all the goals but I'd go with Man City right now.'
Speaking after Chelsea were held to a 1-1 draw by Michael Carrick's Manchester United, ex-Blues striker Jimmy Floyd Hasselbaink insisted he would 'love' his former club to lift the title.
Chelsea have thrived since Thomas Tuchel replaced Frank Lampard as manager at the start of the year, winning the Champions League last season and losing just once in the Premier League this term.
Hasselbaink said: 'It's difficult to say, it's going to be tight. I think all three teams are very, very close.
'All three can win it. Liverpool are very strong, Man City can win 16 games in a row! I would love for Chelsea to win it but it won't be easy, it will be tight.'
Manchester United legend Keane insisted Chelsea were 'by far the better team' in Sunday's clash at Old Trafford but hopes his former club can take some momentum from the battling draw.
'It is a big point,' Keane said. 'Chelsea were by far the better team, as the stats show.
'They should have gone on and won the game. United were spirited and stuck at it. They got a lot of blocks in and that is part of the game.
'Especially when it has not ben great. They will take a bit of momentum into the season now. A good win in Europe and hopefully they can kick on.'
Chelsea face Watford on Wednesday night while Manchester United, who hope to appoint Ralf Rangnick as caretaker manager this week , take on Arsenal on Thursday.
For more stories like this, check our sport page .
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