Latest NBA Signing Could Help Knicks Keep Jose Alvarado

Summer is officially here, meaning the NBA offseason is about to get busier. The 2026 NBA Draft will begin on Tuesday night before this year's free agency period begins exactly one week later, meaning there will be a lot of moving parts for Knicks fans to keep track of in the coming weeks.

When it comes to free agency, the Knicks are at risk of losing several veterans—from Mitchell Robinson to Landry Shamet—to the open market. Another intriguing name to monitor is Jose Alvarado, whose future in the Big Apple is up in the air as the defending NBA Champions await his decision on whether to accept or decline a $4.5 million player option.

Although anything can happen between now and free agency, one of the league's newest contracts could be the first domino to fall towards Alvarado returning to New York.

Reported Collin Gillespie contract is good news for Jose Alvarado's Knicks return chances

On Saturday, ESPN's Shams Charania reported that the Suns "intend" to re-sign guard Collin Gillespie to a four-year, $48 million contract ($12 million average annual value). The 26-year-old backcourt contributor is coming off an impressive third year that saw him average 12.7 points, 4.6 assists, 4.1 rebounds and 1.2 steals while shooting 41.8% from the field and 40.1% from deep in 80 games (58 starts).

Free agent guard Collin Gillespie intends to sign a four-year, $48 million deal to return to the Phoenix Suns, sources tell ESPN. Gillespie spent three straight seasons on two-way contracts after going undrafted out of Villanova in 2022 and now earns a lucrative long-term deal. pic.twitter.com/HIBFG0dDMU
— Shams Charania (@ShamsCharania) June 20, 2026

Gillespie's counting stats exceed Alvarado's across the board, but the Suns guard's new contract could indicate how teams will view role players this offseason. All things considered, a $12 million AAV is fairly "low" for someone whose numbers took a substantial leap from the second to third year. The fact that Gillespie didn't test the market for a bigger number should be encouraging for the Knicks.

After all, no one would blame Alvarado for wanting to cash in on the value that comes after winning an NBA ring.

The former George Tech stud may not have been the top player on the Knicks' title run, but he did provide a key veteran presence in the locker room while averaging 4.2 points on .433/.353/.833 splits in 9.4 minutes per night over 18 playoff outings. His never-say-die attitude and ability to disrupt opponents' offense kept him on the floor. That's without mentioning how Alvarado played an average of 12 minutes per NBA Finals appearance—more action than he saw in any of the three previous rounds.

Earlier in June, The Athletic's John Hollinger predicted that Alvarado could see an AAV of around $10 million on his next contract should he opt out of his player option. That number seems like a long shot now after Gillespie's deal, as potential suitors will see that contract and conclude that Alvarado deserves half of it, if not less.

Jose Alvarado holds up fingers. — Collin Gillespie's contract could have Jose Alvarado thinking long and hard about what he wants to do with his player option this summer. | Brad Penner-Imagn Images

If that's how no-nonsense the market will be, Alvarado could decide to opt into his $4.5 million option before the end of the month. Sure, it might be less than what he could earn in free agency, but sticking with the Knicks and winning another title would increase his odds of an even bigger payday next summer. Those are the risks players must consider if they want to amplify their bank account.

Whether he opts in or out, Alvarado will be taking a risk in the near future. It just depends on which path he's more willing to take.

Add us as a preferred source on Google