"As I rate him, I think they're mad not to buy him off us," Holloway told reporters on Monday. "I think he could replace Xabi Alonso, which they haven't done yet with the greatest of respect.
"Raul Meireles is a great player and is starting to play like he can but they haven't got that passer - Charlie's their man.
"I know if I was Liverpool manager I'd have him in my team by now - I'd have bought him.
"And I'd have come up with the right amount of money because I believe in him that much.
"All you hear about the circuit is 'oh I don't know about that for my first signing, does it look good enough?'
"If the player's good enough, then sign him - that's what they should do. They know now that we won't accept that offer, he's got this year and next year so either put up or shut up, it's as simple as that."
Blackpool have already rejected bids that he felt were well below the playmaker's value from Birmingham City and Aston Villa in the current transfer window and now after rejecting a latest bid from Liverpool, Holloway is waiting for an improved bid to come back from Anfield, and has admitted that if an offer is good enough for the club, then he won't stand in the player's way.
"I expect it because Liverpool are a massive club but until they come up with an offer that we're accepting or would accept then there's no story," he continued.
"He [Adam] can't dictate it, he's got too long a contract.
"It won't be accepted - four million quid is not acceptable to us.
"Have Liverpool come back with an improved offer? No, not at all.
"Damien Comolli rang my chairman last night, faffing about I don't know what, he didn't make any sense as my chairman described to me, so you either make an offer that is acceptable or you go away.
"I wouldn't stand in his way and I told you I wrote a list of teams down – Liverpool was one of them – but it's not my club, it's not my money.
"And if it's not handled correctly, my chairman will dig his heels in and I'll have an unhappy player on my hands and he won't care."
Holloway, who is keen to retain Adam as he looks to keep his side in the Premier League, says he has no qualms about the Scottish international wanting to move to a bigger club and prove himself on a bigger stage.
He added: "He's an ambitious land and he loves this club, you can tell that by the way he scored his goal on Saturday and he gave it a bit of that to the shirt, he's never going to change.
"If I was him I'd want to play for Liverpool as well. I was never good enough. Played against them once I think, but they never actually wanted me.
"I think he'd play brilliantly for them but I obviously rate him higher than anyone else."
If the player is to leave Bloomfield Road, it will therefore have to be for a fee appropriate to the newly promoted side.
Holloway concluded: "I wouldn't sell my house to someone who wants my house but doesn't offer me the right amount of money."
