The United States pulled off their biggest Olympic ice hockey upset since the Miracle on Ice, stunning Canada 5-3 on Sunday to advance to the quarter-finals of an already mixed-up tournament.

Brian Rafalski scored two goals and set up another, and Ryan Miller held off a flurry of shots to lead the Americans.

One day short of the 30th anniversary of America's greatest hockey victory - the unfathomable win over the Soviet Union at the 1980 Lake Placid Games - these underrated Americans were faster, more disciplined and more determined than Canada's all-stars.

Better, too, even as Canada outshot the United States 45-22 yet couldn't badly dent Miller, the goalie the Americans felt could best stand up to all of Canada's stars. He did, too, making 42 saves.

"We know we can beat anybody now," Rafalski said.

While it was only a preliminary round game, fans wearing Canada's distinctive red maple-leaf jerseys lined up for hours outside Canada Hockey Place waiting to be admitted.

Hockey is more than a way of life in Canada, it is part of the country's very fabric, and the country's 33 million residents embrace their team - and curse at and agonise with it - with passion. Early estimates were that half the country planned to watch, and this performance won't do much to calm the nation's nerves.

Emotions were in play for the United States, too, with the Miracle on Ice anniversary. The Americans took a page out of 1960, too, by wearing uniforms nearly identical to those of the gold-medal winning team at the Squaw Valley Games.

Chris Drury and Jamie Langenbrunner scored Sunday to put the United States up 4-2 and hold off a relentless late surge by Canada that included Sidney Crosby's power play goal with 3:09 remaining.

Miller made an exceptional save on Rick Nash's shot from the slot with two minutes left to preserve it, and Ryan Kesler put it away by scoring with 45 seconds remaining.

"He made some really key saves in the third period and was the difference," Canada forward Eric Staal said.

Canada, the gold-medal favourites, were expected to coast into the medal round. But now, after nearly losing to Switzerland and being outplayed on home ice by the Americans, they must win a play-in game on Tuesday against Germany to reach the quarterfinals.

After that, Canada is expected to get Russia, a matchup that wasn't expected until the gold-medal game.

"We're here to be the last ones standing and we're still alive," Brodeur said. "We're throwing 45 shot at these goalies and they are making stops facing forward, backward, sideways. Eventually we'll be more successful."

AAP