The 53-year-old was appointed on December 30, 2011, when he replaced Antoine Kombouare and guided the club to second in Ligue 1, three points behind champions Montpellier.
This season PSG are top of the league, six points ahead of nearest challengers Lyon, after a run of eight wins and a draw in their last nine games, including a 3-1 victory over Bastia last time out.
On Tuesday they visit Valencia for the first leg of their last-16 clash in the Champions League.
Things look rosy for PSG but Ancelotti is still uncertain whether he will be at the Parc des Princes next season, as the final year of his two-and-a-half year contract is optional.
He told L'Equipe: "Depending on where we finish, I have an extra year on my contract if, at the end of the season, PSG are in the top three of Ligue 1 and we qualify for the Champions League.
"I want to stay. But I know that at the end of the season, the club will decide if they are happy or not with my work. And if they are not happy..."
Ancelotti claims not to be concerned by his future, despite the likes of Real Madrid coach Jose Mourinho and Arsene Wenger, the Arsenal manager, being linked with the club.
Neither has he spoken with club president Nasser el-Khelaifi about the situation.
"The thing is simple," he said. "We will take stock at the end of the season, and if the club are happy, and me too, we will continue.
"Otherwise there is no other choice. It's one or the other. I am very happy here, but if the club are not happy, I have no problem in changing."