Watson told listeners on SEN on Wednesday morning that he feels Grundy will agree to a five-year deal, rather than a seven-year deal.
“I’m thinking that they might just join at the middle there somewhere (five-year deal),” Watson said.
“I’m hearing that (Grundy) will budge. You may find that this gets announced before the end of the season.”
Adelaide have been linked to Grundy, who grew up in South Australia and he is yet to extend his contract with the Pies beyond 2020.
Grundy, who averages 21 disposals and 41 hit-outs per game is set to be selected in the 2019 All-Australian Team on Wednesday night.