Two quick-fire goals at the start of the second half effectively ended the contest with Alvarez thrown on for the final half hour in Bilbao.
Simeone made the call to bring Alvarez back into his squad plans following a firm club stance on keeping him for the 2026/27 season and rejecting his attempts to join Barcelona.
The situation now looks resolved until at least next summer and Simeone's angry response to post-match enquiries on his star striker shows he wants the matter closed.
"Are you seriously asking me that? I have nothing to say," Simeone stated before standing up and leaving his post match press conference.
Defeat in the Basque Country is Simeone's first of the season ahead of an opening UEFA Champions League trip to Liverpool on September 9th.