Suarez, 26, has been linked with a move to Bayern Munich where Pep Guardiola will take over next season. The Uruguayan has formed a formidable partnership with Cavani upfront to take their side to fourth in the South American World Cup qualifying table.
Cavani, who has also been linked with top clubs across Europe, feels Suarez has the quality to play in Europe's elite competition, the Champions League.
"The fact is that Luis is one of the top strikers in the world and he wants to be playing Champions League football," Cavani was quoted saying by The Sun.
But in case Liverpool fail to secure a place in the Champions League at the end of next season, Cavani feels Suarez may leave the club in search of Champions League football.
"Of course, Liverpool are not going to make it this season," Cavani said. "But if they don't make it next season then they will have a problem. "Luis would love to play in the Champions League with Liverpool. "But if he can't then a player of his quality needs to play for a club where he can."
Suarez said his words were 'twisted' following reports that he was considering a exit from Anfield. Suarez admitted that he would look into offers from elite clubs across Europe prior to the World Cup qualifiers against Paraguay.
The Uruguayan has carried Liverpool throughout the season scoring 22 league goals. The Reds are currently seventh with chances of securing a place in the Europa League.