Denver is a basketball town built on a very specific kind of stability. Usually, you know what you’re getting with the Nuggets. Nikola Jokic creates magic, Jamal Murray hits big shots, and the front office tries to keep the luxury tax bill from exploding into a mushroom cloud.
But right now? Honestly, the denver nuggets trade news cycle is getting a little weird.
Between Jokic’s hyperextended left knee keeping him on the weight room floor and Jonas Valanciunas dealing with a calf strain, the roster is held together by duct tape and the surprising emergence of Peyton Watson. If you’ve been watching the last five games, you’ve seen Watson go absolutely nuclear—averaging 24.4 points and playing like a man who knows his bank account is about to change forever.
The Michael Porter Jr. Aftermath
We have to talk about the elephant in the room. The Nuggets traded Michael Porter Jr. and a 2032 first-round pick to the Brooklyn Nets back in July for Cameron Johnson. It was a move designed to shed salary and find some two-way balance.
Fast forward to January 2026, and MPJ is currently leading the rebuilding Nets with a career-high 25.7 points per game. Seeing him flourish elsewhere while the Nuggets struggle with depth is a tough pill for some fans to swallow.
Denver basically decided that Johnson’s $23 million price tag was a more manageable "middle ground" than Porter’s max deal. But the irony? Denver is still about $400,000 over the luxury tax threshold. They gave up a franchise cornerstone and a future first just to be... slightly less over the limit.
It hasn’t exactly been the clean break they hoped for.
The Peyton Watson Problem (And Why It’s a Good One)
Peyton Watson is currently the most fascinating storyline in Denver. He didn't sign an extension last summer. Now, he’s a restricted free agent-to-be who just hired Klutch Sports Group.
That is a loud signal to the rest of the league.
When a young player switches to Klutch right before hitting the market, they aren't looking for a "hometown discount." Watson’s recent tear—highlighted by 51.8% shooting and elite defensive versatility—has likely priced him out of Denver’s comfortable range.
✨ Don't miss: The 2018 Open Championship: What Really Happened at Carnoustie
Current Roster Financial Projections (2026-27)
- Nikola Jokic: $59 million
- Jamal Murray: $50 million
- Aaron Gordon: $32 million
- Cameron Johnson: $23 million
If Denver matches a massive offer sheet for Watson this summer, they are diving headfirst into the second apron. That means no mid-level exception, no taking back more money in trades, and a tax bill that would make even Stan Kroenke flinch. Troy Renck of The Denver Post has already floated the idea that a sign-and-trade this offseason might be the only way out.
But wait. If they want to win now, can they really afford to trade their best defensive wing?
The Zeke Nnaji Resurgence
For years, Zeke Nnaji felt like the player who was always "one trade away" from being gone. His contract—roughly $23 million over the next three seasons—was considered untradeable.
Then January hit.
With the stars sidelined, Nnaji has stepped up. Since New Year's Day, he’s putting up 12.7 points and 1.3 blocks while shooting 43.8% from deep. He even dropped 21 in an overtime win against Philly.
This isn't just "good for him" news. It’s "trade deadline fuel." For the first time in a long time, Nnaji actually has positive trade value. The Nuggets could potentially package him with a second-round pick to find a veteran backup point guard or a more consistent rim protector to help while Valanciunas heals.
Moving Parts Before February 5
The trade deadline is February 5th. Denver has two very clear, very boring, but very necessary goals.
First, they need to get under the luxury tax. Being $400k over is annoying for a front office that hates the "repeater tax" penalties.
💡 You might also like: Kansas City Royals v New York Yankees: What Most People Get Wrong
Second, they have to promote Spencer Jones. Jones has been a revelation on a two-way deal, starting 21 games and shooting 41% from three. The problem is he’s only allowed to play 50 games on his current contract. He’s already at 32.
If they don't convert him to a standard roster spot by the end of the month, they lose him for the playoffs.
What Actually Happens Next?
Trade rumors are fun, but the Nuggets rarely do the "blockbuster" thing mid-season. They prefer the surgical strike.
Expect these moves as the deadline nears:
- The Spencer Jones Conversion: This is the priority. They have an open roster spot, but they might need to move a small salary (like Jalen Pickett or Hunter Tyson) to stay under the tax while giving Jones a real NBA contract.
- The "Low-Level" Wing Search: With Christian Braun still recovering from that nasty ankle sprain (the one where he literally ripped his ligaments), Denver is thin at the two-spot. Look for them to sniff around expiring contracts like Kenrich Williams or even a reunion with someone like Torrey Craig if things get desperate.
- The Watson Watch: Don't expect a Watson trade before the deadline. They need him for a title run. The real drama happens in July.
The Nuggets are currently 25-13, sitting 3rd in the West. They are elite when healthy. But the denver nuggets trade news this year isn't about finding a superstar—it's about surviving the financial fallout of being a contender.
Keep an eye on the injury reports for Jokic. If his knee keeps him out past the deadline, the front office might be forced to get much more aggressive than they ever intended to be.
For now, the smartest move for the front office is to finalize the Spencer Jones contract before his 50-game limit expires. Once that roster spot is locked, keep the phone lines open for a backup big man who can provide insurance for Valanciunas. If Nnaji's value remains high through the end of January, flipping him for a proven playoff veteran in the $8-10 million range remains the most logical path to a deep June run.