Gravesen played as a professional in Denmark, Germany, England, Spain and Scotland for Vejle Boldklub, Hamburger SV, Everton, Real Madrid and Celtic.
At VB he played as sweeper and defensive midfielder, and after he won silver medals in the 1996–97 Superliga season he moved to German team Hamburger SV in 1997.
With his contract due to expire in the summer of 2005, which would enable him to leave on a free transfer, Everton sold Gravesen to Real Madrid in January 2005 for a surprisingly low fee of £2.5 million.
[5] In August 2006, a scuffle erupted at a Real Madrid training session following a hard tackle by Gravesen on teammate Robinho.
There was a period of uncertainty as to whether Gravesen would sign for Celtic after false rumours arose of a failed medical and of an eleventh-hour bid by Newcastle.
On his first game back for Everton, as a second-half substitute in the 2–1 win at Bolton Wanderers, he took the corner that Joleon Lescott headed the winner from.
[19] While at Everton, new Danish national team coach Morten Olsen fully supported Gravesen and made him one of his pivotal players in the 2002 World Cup and Euro 2004 campaigns.
His display in the 2002 World Cup qualifying game with Iceland, where Gravesen scored two goals in a 6–0 win, was so impressive that American boxer Mike Tyson asked for his shirt[3] and wore it throughout his stay in Denmark.
On 15 September 2006, Gravesen announced his decision to end his international career, deciding now to focus his efforts solely on Celtic.