The Atletico Madrid striker has been in outstanding form this season, scoring 19 times in 20 La Liga games so far and is second top-scorer in Spain, with only Cristiano Ronaldo having scored more.
"Diego Costa is not far from the Ballon d'Or," the 43-year-old Atleti boss told Mundo Deportivo.
"Things are not so bad for him."
Costa has endured a goal drought of late, having failed to score in his previous six games, but Simeone insists that he is unconcerned by his current struggles.
"Hopefully he'll get a goal because we've needed it of late," he continued.
"However, Falcao was like that if I'm not mistaken and passed a similar time without scoring."
Atleti play Rayo Vallecano on Sunday and sit third in La Liga with 51 points from 20 games, two behind Real Madrid, who have played a game more.