But the 28-year-old Norwegian star insists he will stay at Rovers until the end of the season.
He told Nettavisen: “(My agent) Rune Hauge takes care of all that. All I want to do is play football.”
Pedersen’s contract with Rovers expires at the end of the season and the winger admits he is flattered to be linked with Celtic.
“They are a big club in Europe. They play regularly in Europe and that is a bonus for all players,” he said.
“I have never played in the Champions League and that is a dream for me, of course.
“At the same time, I will honour my contract with Blackburn.”