The Argentina international has admitted that it will not be easy for the Blancos to retain their title, but is hopeful they can achieve just that.
The reigning champion has fallen 11 points behind its archrival following Saturday's away loss to Betis, but Higuain is not giving up on the title just yet.
"We are a huge number of points behind them and we are competing against great teams, but I have no doubt that this team has the squad to win the title," Higuain was quoted as saying by AS.
"We were in this position when I arrived but we ended up winning the league. It seems crazy, but I have no doubt we can do it."
Even though Higuain is confident Real Madrid can turn things around, he admits that the team will need some luck to get back into the title race.
"It's not in our hands, and we'll need other results to go our way, but we have the squad to keep fighting till the end and that's what we'll do," he said.
Higuain has netted seven goals in 10 league appearances this term, but is currently recovering from a hamstring injury.