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Rafael Nadal has produced a clinical third-round demolition of fellow Spaniard Pablo Carreno Busta to continue his charge towards another Australian Open title.

It's been 11 years since Rafael Nadal's solitary Australian Open crown, but the world No.1 is building nicely towards another title triumph at Melbourne Park.

The Spanish whiz blew his countryman Pablo Carreno Busta off Rod Laver Arena on Saturday, not even facing a break point in the 6-1 6-2 6-4 demolition.

His serve was unstoppable during the third-round encounter, dropping just one point off his first serves in the final set against the 27th seed.

But the long wait between lifting the Norman Brookes Challenge Cup has not been for a lack of form in the early rounds.

Since his 2009 triumph against Roger Federer, the 33-year-old has lost four Australian Open deciders (2012, 2014, 2017 and 2019).

It's been Nadal's least-successful grand slam, even behind his two Wimbeldon crowns.

The 19-time major winner said he was happy with his form going into the round of 16, but was not looking too far ahead.

"It was my best match of the tournament so far, without a doubt - big difference between today and the previous days," Nadal said.

"I have been serving well, starting to create damage with the forehand.

"Every day is a different story. But, of course, is important to make steps forward.

"It's clear that today, I made an important one."

Nadal said he had mixed up his preparation from previous Australian Open campaigns, but was enjoying the change.

"It's been a little bit different than other times, but just happy to be playing again in this amazing stadium in front of this great crowd that always supports," he said.

Nadal will play Nick Kyrgios or Russian Karen Khachanov in the fourth round.

He is not fazed by who he plays in the last 16.

"Both players are great players. Nick is excited to play here at home," Nadal said.