Van Dijk and Alexander-Arnold’s contracts with Liverpool will expire at the end of the season.
Alexander-Arnold has already been linked with Real Madrid.
But Cascarino believes it would make perfect sense for Los Blancos to sign both players.
“It would make perfect sense for Real Madrid to sign Virgil van Dijk as well as Trent Alexander-Arnold from Liverpool when their contracts expire this summer,” he told The Times.
“Real need a high-class centre-back, and Van Dijk is one of the top five in the world. Carlo Ancelotti likes to work with experienced players, and at 33, Van Dijk can play at the highest level for maybe another four years.”
“In recent times, Real’s transfer policy has shifted to successfully target free agents, including Antonio Rudiger, David Alaba, and Kylian Mbappe. It seems like a no-brainer.”