The Seagulls have won just one of their last 11 matches in the Premier League ahead of the two clubs meeting at Bramall Lane on Saturday.
The recent run of form has seen Brighton slip to within three points of the drop zone, following a draw with fellow strugglers Watford on February 8.
Sheffield United are currently sixth, having secured promotion to the top flight last year, and Potter was full of praise for his opposite number Chris Wilder.
"He's taken them on an amazing rise in the last few years," Brighton boss Potter told the club website.
"They've worked on how they want to play for a few years now and developed a core group throughout, so they have a real clarity and identity and - most importantly for me - a belief that they can achieve.
"That's what we're fighting to do. Chris has done a fantastic job and should be one of the candidates for manager of the year for what he's achieved."
Potter has also backed new signing Tariq Lamptey to make an impact, although the deadline-day arrival from Chelsea has yet to make an appearance for his new club.
"He's explosive, very fast and also technically very good," Potter said about the 19-year-old who has been training with Brighton for three weeks.
"He's got a nice personality and a really infectious enthusiasm for football which is refreshing. I think our fans will like him. Nobody is perfect, but he has a nice way of conducting himself."