Self-interacting dark matter (SIDM) naturally gives rise to a cored isothermal density profile, which is favored in observations of many dwarf galaxies. The dark matter distribution in the presence of a central black hole in an isothermal halo develops a density spike with a power law of r −3/2 , which is shallower than r −7/3 as expected for collisionless dark matter (CDM). Thus, indirect detection constraints on dark matter annihilations from the density spike could be significantly relaxed in SIDM. Taking the most dense satellite galaxy of the Milky Way Draco as an example, we derive upper limits on the annihilation cross section and the black hole mass for both SIDM and CDM halos. For the former case, Draco could host an intermediate mass black hole even if dark matter is composed of thermal relics. Even for the M87 galaxy, which hosts a supermassive black hole with a mass of 6.5×10 9 M , we estimate the constraints on the annihilation cross section are a factor of 10 5 weaker in SIDM than in CDM. Our results further indicate that the Event Horizon Telescope may provide a unique probe of the SIDM spike near the supermassive black hole of M87 for light dark matter.