The Suns did not announce a timetable for his return, but Canaan is expected to make a full recovery, the team said.
Canaan was fouled as he drove to the basket in the final seconds of the first quarter. His ankle gave way on a hard, awkward landing, and his left foot was pointing in the wrong direction as his body tumbled to the floor.
As trainers rushed to Canaan, the crowd groaned and some of his shocked teammates covered their eyes or looked away.
Phoenix guard Devin Booker pulled his jersey over his face. Team doctor Tom Carter twisted the foot and ankle back into their proper positions and said afterward that Canaan never uttered a word of pain.
He was loaded onto a stretcher and wheeled off the court.
Canaan averaged 8.6 points and 3.8 assists per game this season.