The defending Premier League champions lost 4-1 to Spanish giants FC Barcelona in the Champions League round of 16.
The Blues have lost five of their last seven Premier League games to lose significant ground in the top-four race.
The west London outfit suffered their first Premier League loss to Spurs at Stamford Bridge last weekend.
Goals from Christian Eriksen and Dele Alli sealed a 3-1 win to notch up Tottenham’s first victory at the west London club since 1990.
Chelsea FC are eight points adrift of fourth-placed Tottenham with seven games to spare.
The title holders could miss out on Champions League football for the second time in three seasons.
However, the Blues memorably won the Europa League under Rafael Benitez in 2013 following a 1-0 extra-time win against Benfica.
Former Chelsea FC winger Nevin believes the Blues could enjoy a long run to the Europa League final.
“What about the idea of the much derided Europa League itself?” Nevin told Chelsea FC’s website.
“There are lots of games in store if we get there and I think most fans who enjoyed the run to the final and win in 2013 accept that there is good sport to be had in that adventure.
“There is of course the carrot of a Champions League place if you win it, and with the quality of the competition in the Premier League at the moment, this route cannot be ignored lightly.”
Chelsea FC have won the Premier League title in two of the past three seasons under Jose Mourinho and then Antonio Conte.
MORE: Man United latest news
MORE: Arsenal latest news
MORE: Chelsea latest news
MORE: Liverpool latest news