Reading, Blackburn Rovers and Middlesbrough have all been linked with Watson, who told BBC London 94.9: "My future is here. But it's not down to myself. If something happens it's not that I want to leave.
"I'm not going to go in banging the gaffer's door down saying that I want to leave, I'll never do that."
The former England Under-21 international added: "Hopefully at the end of the season we'll be in the Premier League with Palace."