While that is a possibility, he was considered an underdog to win when he dropped out. This public radio article covers it pretty well "A Providence mayor has not won election as governor since Dennis Roberts won four two-year terms in the 1950s. And the uncertain level of statewide support for Elorza, even with more than $1 million in his campaign account, led campaign observers to question his chances of victory." (source: https://thepublicsradio.org/article/elorza-will-not-run-for-ri-governor-in-2022 )

He also wouldn't rule out a future run for higher office. I think if Raimondo was a lame duck and he had better odds, we might have seen different choices here. Allan fung has run and lost repeatedly for office (and actually likely to win this time), but I don't think most candidates want to take the L like that if they can help it.