Sources also told ABC11 that Nickel will endorse fellow Democrat Roy Cooper in the battle for the seat held by Republican Sen. Thom Tillis, who is not seeking reelection next year.
Nickel will reportedly consider seeking the Wake County district attorney's seat.
Cooper, the former two-term governor who has never lost an election, has not formally announced his intentions to run, but is seen as the foremost candidate from his party.
Nickel announced in April that he would run for the Senate seat.
He served two terms in the North Carolina State Senate and won a congressional seat in 2022.
He later announced he would not run for reelection in his district after the state maps were changed before the 2024 election.
On the Republican side, Republican National Committee Chairman Michael Whatley has emerged as the front-runner. Whatley unofficially announced Thursday that he will run to fill Tillis' seat. Late Thursday, President Donald Trump endorsed Whatley.
ABC11's Michael Perchick contributed.