The Argentine defender was believed to be on his way to Fiorentina after the two clubs agreed on a fee of around Ã‚Â£5 million for the player.
However the Italian outfit have failed to agree personal terms with InsÃƒÂºa, with the 21-year-old’s pay demands believed to be too high for the Gigliati.
Speaking after LiverpoolÃ¢â‚¬â„¢s pre-season friendly in Germany Liverpool boss Roy Hodgson told lfc.tv that he was uncertain over the youngsterÃ¢â‚¬â„¢s future.
Ã¢â‚¬Å“InsÃƒÂºa decided that he is still undecided about his future and was therefore able to be selected,” he said.
Meanwhile Liverpool have also re-signed full-back Fabio Aurelio, who had left the club earlier in the summer after not agreeing a new deal to stay on Merseyside.
Aurelio has faced a number of injury problems during his time at Anfield which has stopped him from securing a place in Rafael BenÃƒÂtezÃ¢â‚¬â„¢s side. But after taking a pay-cut to secure a new contract Aurelio is optimistic of his first-team chances.
“I feel very pleased and proud,” Aurelio told lfc.tv. “It feels like I am signing for the first time – everything has changed so it is like a new beginning for me with new confidence and a new boss.Ã¢â‚¬Â
“Hopefully I can do well this season.”
He added: “My aim is to help the team do better than last season. Everything is going really well, so I think we can progress a lot.
“We have made some good additions to the team and we can be very confident.”
The addition of Brazilian, along with InsÃƒÂºaÃ¢â‚¬â„¢s collapsed Fiorentina deal, leaves Liverpool with two solid left-back options, though Hodgson is still expected to add a new full-back should the Argentine defender chose to start talking to another club.
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