The Portuguese was offered to the LaLiga giants despite his history with their bitter rivals Real Madrid.
Ronaldo wants to leave Manchester United after just signing last season for the English club side.
The five times Ballon d’Or winner is yet to return to training and pre-season games for the Red Devils.
But the 37-year-old’s exit strategy has become increasingly desperate
Ronaldo’s agent, Jorge Mendes, has offered him to top European clubs but has been unable to find a buyer for the striker.
The player was rejected by Atletico Madrid because they cannot afford to fund the transfer because of their financial situation, while Real Madrid have no intention of re-signing him.
Spanish radio station Cope has outlined how Mendes even sensationally offered his client to Barcelona this summer but received a negative response.
That Ronaldo would rather play for the Catalan club next season rather than United speaks volumes of his intentions to leave.
Atletico Madrid remains a favourable option for the forward despite being the fierce rivals of former club Real Madrid. The 37-year-old has grown frustrated at United after shouldering much of the responsibility last season.