The Belgium international, 31, could return to Atletico two years after his move to Al Shabab in Saudi Arabia.
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Any deal, however, will depend on Atletico making several sales first.
Atletico coach Diego Simeone, enthusiastic about the prospect of having a player he's always admired, reportedly even met with general manager Carlos Bucero to push the negotiations forward.
Carrasco left Atlético in 2018 for Dalian Pro in China, only to surprise everyone with his return in January 2020. With 266 appearances and 47 goals for the Colchoneros, the Belgian is one of the club's most iconic players in recent history.