Balotelli could make a surprise debut for big-spending City on Thursday against Timisoara in the Europa League play-off.
Blues manager Ancelotti is an admirer of the 20-year-old, who arrived at Eastlands in a reported £22.5million deal.
"Mario is a great player who comes into a team that was already strong last year, which has improved in the transfer window," Ancelotti told Italian newspaper Il Corriere dello Sport.
"Balotelli is a player suited to this league. He is very strong physically and technically. He will slot into his new team quickly."
Source: PA
Source: PA