Since their promotion to Germany's top-flight last season, the club have won just two games out of a possible 22, and sit rock bottom of the division on 12 points.
The 44-year-old, who won the second division title last season with Furth, was informed of the decision on Wednesday afternoon.
Although club president Helmut Hack had kinds words to say about Buskens, revealing it was a difficult decision considering his achievements at the club, he added that it was time for a change.
"We know what we have to thank Mike Buskens for, so it was a decision that was very difficult for us," he told the club's official website.
"We still have a chance to stay up. Therefore, we want to try to give the team a new impetus."
For the time being the team will be managed by Under-23 coach Ludwig Preis and sporting director Rouven Schroder. A permanent replacement is expected to be announced in the near future.
"This is only an interim solution, until we find a new head coach," said Schroder.
Furth's 1-0 defeat to Fortuna Dusseldorf sealed Buskens' fate, with his now former club set to face third-placed Bayer Leverkusen on Sunday.