The Chile international provoked renewed attention regarding his immediate future after he voiced his ambition to play in the Champions League, whilst in Chile.
He told RadioSport Chile: "I want to play in the Champions League. The decision isn't down to me, I need to wait for Arsenal.
"The idea is to play and win the Champions League. I've dreamt about it since I was a kid."
While Arsenal will not compete in next year’s Champions League after last season’s fifth-placed finish, the Gunners hope they can hang on to the striker by offering him wage parity with the top earners in the Premier League.
Both Manchester City and Bayern Munich have been linked with a big money transfer involving Sanchez, but a deal with the latter now looks unlikely after the German champions' CEO admitted there would be no more attacking additions this summer, after signing Real Madrid’s James Rodriguez on a two-year loan.
28-year-old Sanchez has just one year remaining on his contract and could leave for free next summer should his contract extension offer remain unsigned.
Alexis Sanchez Won't Join Bayern Despite Desire for Champions League Insists German Champions' CEO https://t.co/vgKyFCE1c0— 90min (@90min_Football) July 17, 2017
Following humiliating twin 5-1 defeats to Bayern Munich home and away in the Champions League last 16 last season, rumours claim Sanchez questioned Arsenal’s ambition and is said to require a massive increase on his current £130,000 per-week wages and assurances over squad recruitment policy in order to stay in North London.
Despite his frustrations, Sanchez was superb for the Gunners last season - bagging 10 assists and finishing as Arsenal’s top scorer on 24 - while Arsene Wenger is publically optimistic that he can convince his star man to stay.
Meanwhile, Arsenal have been addressing widespread accusations of a lack of ambition with the record signing of £52m man Alexandre Lacazette and concerted efforts to sign Monaco starlet Thomas Lemar.