The former Manchester City and Liverpool player has been bouncing around Europe over the last couple of years.
However, his form at Nice has been encouraging, having scored an impressive 15 goals in 23 Ligue 1 appearances.
And now, Raiola says the Italy international, who is out of contract at the end of the season, could remain in France, or move to the Bundesliga with Dortmund.
"Balotelli trusts me," agent Raiola, who represents a number of top footballers across Europe including Paul Pogba and Zlatan Ibrahimovic, was quoted as saying by Corriere dello Sport when asked about Balotelli's future.
"I'm picky and he knows it. Will he remain at Nice? We will see. He is wanted by Borussia Dortmund and Marseille," Raiola said.
"His perfomances at Nice have been positive, though Mario has to give much more because he doesn't have many more chances," said the Italian-born Dutchman.
"At the same time, I'm happy to see him very empowered in his role as a father."
Once regarded as one of the most talented young footballers in Europe, off-field issues have hampered the 26-year-old's career.