Watson is going to have to prove he will sit out before they trade him. Their best option is to keep him and fix their cap situation somehow. Maybe unload Watt and rework a few contracts to get a decent WR. Eat excrement this year with regard to draft picks and start fresh in 2022.
Watson won't go for that though and he will most certainly sit out.
Oddly enough the situation gets better for us if this goes beyond the draft, assuming we don’t go QB with #2.
We are currently the only team with multiple 1s for next year and we are in the best position to facilitate a draft day trade to acquire another one next year. Which would allow us to build our team right now and then acquire Watson in July when he’s made it clear to Houston he isn’t coming no matter what they do or what they threaten him with.
Obviously I hope we acquire him today, just so we can celebrate it and not worry about it, but if it does drag on we are one of the only teams to be able to make a deal later.