As revealed by Goal, the midfielder has been given assurances of an improved deal at Camp Nou in an attempt to ward off Manchester United's interest, but the Barca legend believes that the 22-year-old should depart if he is not able to develop at the top level this season.
|THIAGO IN TRANSFER TALK
|1/5||Thiago is 1/5 with BetVictor to sign for Manchester United before September 1
"It all depends a bit on Barcelona's plans. If there is little chance that he will get regular playing time, he should leave," Cruyff told Marca.
"However, if Barca tell him that he will be a starter, he should stay put. It's all quite simple really.
"Thiago has a lot of quality and he has plenty of time as he's still young. Any decision he will take will prove to be a good one."
The midfielder has a contract with Barcelona until the summer of 2015 but the failure to participate for a stipulated amount of minutes in 2012-13 has seen his exit clause plummet from €90 million (£76.3m) to an attractive €18m (£15.3m).
However, his minimum fee release clause returns to €90m on August 1.