Traore has been a target for Tottenham all month and the north London club have been in talks with Wolves over signing him in the ongoing transfer window.
The north London club were believed to be close to agreeing on a deal to sign the Spaniard as part of Antonio Conte’s plans, though have struggled to make progress in recent days.
But in a fresh twist to the saga, the Spaniard is claimed to be on his way back to his former club Barcelona.
The Catalan giants have worked out an agreement with Wolves to sign Traore on loan for the rest of the season.
Xavi Hernandez has been pushing for a winger this month and Barcelona appear to have now outflanked Spurs in the chase for Traore.
The Spaniard is believed to be preferring a move to his former club, where he was in the youth ranks, and it was claimed recently he is making Barcelona his priority.
It remains to be seen whether Tottenham react and put in a better offer to convince Wolves to sell the winger to them.
