The Bundesliga champions are said to be close to signing the promising teenage midfielder of Brazilian descent
Jurgen Klopp is said to be keen to add more depth to his squad and sees the 17-year-old playmaker as a potentially valuable addition.
Bittencourt has also attracted the interest of clubs such as Bayern Munich, Bayer Leverkusen and Schalke, but it is understood that he has decided to join Dortmund and is expected to sign a five-year deal in the coming days.
The Leipzig-born midfielder is a product of the Cottbus youth academy and is considered to be one of the most exciting young talents in Germany, having earned a regular starting role this term.
He has already represented Germany at Under-19 level, but also holds Brazilian nationality.