The Champions League holders had agreed a deal to sign the midfielder but Real Betis are hopeful of retaining his services
Dani Ceballos could still stay at Real Betis despite reports the midfielder has agreed a six-year contract at Real Madrid, believes the club's coach Quique Setien.
But Setien says the 20-year-old, who starred for Spain in their run to the final of the European Under-21 Championship in Poland last month, claiming the Player of the Tournament award, may yet turn down the chance to join the Champions League and LaLiga winners.