Meanwhile, the Italian has been linked with replacing his Portuguese counterpart at the Bernabeu.
However, the 53-year-old tactician said that he is keen to stay in the French capital next season.
"Keeping the same coach is good for continuity, isn't it?" Ancelotti told reporters.
"I know I want to stay, so I will stay if everyone is happy with that."
Ancelotti replaced Antoine Kombouare at PSG in December 2011.