Real Madrid's deal for Julian Alvarez has fallen through as rivals Barcelona seek to seal the deal.

Alvarez is contracted to Atletico until 2030 and carries a €500M release clause, handing the Spanish side a major advantage in transfer negotiations.

Atletico rejected a formal €150m bid from Real Madrid earlier in 2026, without even considering or evaluating the bid according to reports as the club stand firm on their evaluation.

As Madrid were rejected, Arsenal and Barcelona have stepped into the limelight in recent weeks despite the price of the striker likely being the same amount as each club’s entire transfer budget.

Transfer expert Fabrizio Romano gave an update on the deal as the summer transfer window continues to stun fans in its opening weeks.

“Real Madrid are currently not advancing or progressing in talks for Julián Álvarez, disappeared from the deal since €150m bid 10 days ago.