The Bundesliga side crashed out of the competition as they succumbed to a 3-1 defeat at Sporting Lisbon on Wednesday night.
The Europa League awaits Haaland and co. but many would agree a player of the Norwegian striker's calibre should only be in the Champions League.
There was already plenty of speculation surrounding his future but Dortmund's latest setback will only add to it, especially with the January transfer window in the not too distant future.
A number of Premier League clubs have been linked with the 21-year-old, and Rio Ferdinand believes Haaland would slot in brilliantly in Liverpool's front three but a move to Manchester City is more likely.
"If I was Liverpool I would take him right now," Ferdinand told BT Sport.
"If he goes to Liverpool it's a devastating front three. I don't think it's as hard for him to adapt if he goes to Liverpool.
"Jack Grealish has gone to Manchester City and he is a top player and we all love him but it's been quite hard to adapt and get into that team.
"But when Liverpool are at their best they kind of leave a hole up front in the middle for the runs to come inside. I'm not sure Mohamed Salah would get as many goals if Haaland was in the team.
"It's an unbelievable prospect but I think Manchester City would be the likely destination."
Manchester United were heavily linked with Haaland before he chose to join Dortmund in January 2020.
However, there are concerns he will never sign for the Red Devils due to his father Alf-Inge's infamous clash with Roy Keane who poleaxed him with a vicious tackle while playing for City.
"I would have thought Manchester City would be the likeliest [for Haaland]," Ferdinand added.
"I'm not sure if there's a bit of bad blood between Haaland, his agent, obviously his dad playing against Roy Keane at Manchester [United], I'm just not sure whether the Manchester United one would fit.
"Romelu Lukaku has now gone to Chelsea, not sure whether he would fit there."