Premier League giants Liverpool were one of the winners of the January transfer window, mainly because they purchased Virgil van Dijk to deal with their defensive issues, but they did fail to purchase a replacement for Philippe Coutinho.
The Brazilian made the switch to Barcelona for £142m, and it is little surprise that manager Jurgen Klopp is in the market for a star in the summer.
Ceballos has only made eight La Liga appearances for the Madrid club this season, six of which have come as a substitute. Despite his lack of minutes, the Spaniard has netted two goals, and there he certainly has huge potential.
The 21-year old could cost the Merseyside club £32m, and he has reportedly told Real Madrid president Florentino Perez on two separate occasions that he would like to make the switch to England.
The Reds have still managed to achieve a lot of success even despite losing Coutinho, and they currently sit third in the table, two points behind second place Manchester United.