Sadio Mane has been in stunning form over recent weeks, while Roberto Firmino was on target during a dramatic 2-1 victory over Tottenham.
Salah was involved in the most decisive moment of that contest, with it his header that Hugo Lloris fumbled onto the boot of Toby Alderweireld for the most unfortunate of own goals.
The Egyptian frontman, who does have 20 efforts to his name this season, was unable to find the back of the net without assistance though.
Nicol believes that is becoming an issue for the Reds, with the 26-year-old clearly lacking confidence in the final third of the field.
The former Liverpool defender told ESPN FC of the current holder of the Premier League Golden Boot: “His head has gone.
“And he shouldn’t say he’s had a bad season because he hasn’t had a bad season. He’s had a bad second part of the season.
“As good as he was in the first part of the season, he’s been as bad in the second.”
Nicol added on Salah’s struggles and how they are now impacting Liverpool as a collective: “When he goes through now, the first thing in your head is ‘he’s not scoring’.
“I was praying he was going to pass the ball to Mane, I was praying. Because I thought if he doesn’t pass it, this isn’t going in the back of the net.
“The worrying thing I have now thinking about Liverpool is where their goals are going to come from.
“The way Liverpool are set up, [Jurgen] Klopp’s best three in the middle of the park are there to be workers, basically. They’re not there to play fancy passes through the defences and score goals, they’re there to get the ball to the front three.
“We have a situation right now where you basically have a front two, and that’s Firmino and Mane, you’re down to two players that you think are going to put the ball in the back of the net.
“You look across to Manchester City, who have got an abundance of players who can put the ball in the back of the net.
“That’s the difference for me right now why City will win it and Liverpool won’t.”
Liverpool have edged back above City to the top of the Premier League table but will see the defending champions return to the summit with a one-point advantage if they see off Cardiff City on Wednesday.
Klopp’s side then get the chance to put down another marker and get points on the board when they travel to Southampton on Friday.