The 31-year-old midfielder's current deal expires at the end of the season, but the Dutch manager believes the former Reading man is keen to stay at the west London club
The 31-year-old midfielder's current deal is due to expire at the end of the season, leaving him free to discuss a move elsewhere.
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"I know that they're still in talks," he said. "It's clear that Steve would love to stay here. "He's doing very well here so I hope we come to a suitable solution."
Sidwell has spent the past three years at Fulham, having originally agreed a six-month deal in January 2011.
Prevous manager Martin Jol had revealed that discussions over a new deal for Sidwell had begun in October, though the club were only offering a one-year extension at the time while the Englishman was keen to secure a longer deal.
The combative midfielder has been one of the standout performers for the Premier League strugglers this season, scoring five goals in 22 top-flight appearances.