The reigning champ came through a madcap qualifying session at the Nurburgring to grab fifth place for today's German Grand Prix.
Title pacesetter Button was third fastest behind team-mate Rubens Barrichello as Red Bull's Mark Webber bagged the first pole of his 132-race career.
But Hamilton, 24, took time out from his celebrations to tell Button that he has to get his finger out as his rivals look to gang up on him.
Hamilton warned: "Jenson has to step up his game now. Jenson has been in a position where he has not had to do that for a while. He has been just so consistent and smooth.
"But when it comes to attacking and getting on with the job I am sure he is ready for that. That is what he has been preparing for all his life.
"For Jenson it is now about balancing risks and when you take what you've got and think of the big picture."
Hamilton equalled his best qualifying slot of the season as McLaren's £2million upgrade of the MP4-24 car began to pay off.
Hamilton added: "This lifts my spirits. It is a great feeling."
Button, 29, was relieved to qualify third after a chaotic second session when a sudden shower left drivers scrambling from dry to intermediate tyres and back again. He said: "It was madness so it's great to get into Q3."
Button is 23 points ahead of Barrichello with German Sebastian Vettel, who qualified fourth, two points further back and Aussie ace Webber another 3.5 points adrift.
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Great qualifying yesterday for Lewis :)
Top 3 today for me
1st Seb Vettel
2nd Mark Webber
3rd Lewis or Reubens
Seb cos it's home turf
Good luck to you all
By Jo.. Posted July 12 2009 at 9:19 AM.