The 27-year-old has scored 14 goals in 17 La Liga appearances this season but the Portugal international’s future at Los Blancos has been a source of constant speculation.
“There is no chance he will come here,” Ancelotti told La Stampa.
“Money is not enough to tempt him, the determining factor is the will of the club he plays for.
“He is a great talent who needs to play well all the time. I like coaching great players like him, and I have several in my squad.
“What I’ve read in the newspapers [about Cristiano joining PSG] makes no sense. We have 30 players now that Lucas Moura has joined and I don’t need anymore.”
Madrid coach José Mourinho has also been linked with a move to the Paris club, but Ancelotti insisted he was not concerned about the Portuguese coach taking his job.
“I am very relaxed about it. The person who said the club are after Mourinho and Cristiano is a member of the Al-Thani family but he is not the owner, and I know the owner is not thinking about that.”
For the best sports news from Spain without picking up a dictionary, visit www.as.com/english
Get enhanced odds of 5/1 on Arsenal to win the FA Cup on Saturday with Paddy Power.