Former Getafe and Sevilla coach Míchel met with representatives from Olympiacos on Tuesday evening to discuss him taking over at the Athens club.
A deal is believed to be close to being struck, but the former Real Madrid winger is demanding a number of guarantees before he accepts the job, which became free after Portuguese coach Leonardo Jardim was sacked over a week ago, despite taking the side to 10 points clear at the top of the Greek Super League.
The club's first choice to take over from Jardim was Unai Emery, but once the Basque coach was named as the new coach of Sevilla, their attention turned to Míchel.
If Míchel opts against taking the job, former Deportivo coach José Luis Oltra and former Atlético Madrid, Mallorca and Sevilla coach Gregorio Manzano are being lined up as alternatives.
Míchel is expected to accept the offer from Olympiacos but he also has his eye on the vacant position at German side Schalke.