The 26-year-old has bagged an impressive 43 goals in 84 appearances since joining the club from Ajax in January 2011.
And the Uruguay international - who penned a new deal at the club in the summer - says he feels 'at home' on Merseyside and plans to stay with the Reds for 'a very long time'.
He told the club's official website: "I hope (to be at Liverpool) for a very long time because it's a massive club that kids dream about playing for.
"I've been very proud to be at a club like Liverpool and to have made the decision to come here. In two years I've lived through some spectacular and very special moments that I will never, ever forget.
"There have been a few difficult times as well, but with the support of my family, the club and the fans, things have gone well for me.
"I do feel at home here. When I'm out and about, all I get is support and encouragement from the local people and that's very important, and when I come here to the club I feel like people have known me all my life. That also helps a great deal to making me feel so at home.
"I hope to be able to help out the team for as long as I possibly can while trying do something to make the club and the fans very happy."
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