Larissa Brunner, analyst for Western Europe at think-tank Oxford Analytica told CNBC in a phone interview, "If Merkel decides to run then yes, definitely, she will win the election.
"There is no real effective opposition from Sigmar Gabriel and his party (the Social Democratic Party) and besides he is not very popular. Though, it is very unlikely that (Merkel's) Christian Democratic Union (CDU) will emerge as the strongest party."
Recent state elections demonstrate a growing level of support for anti-immigration policies and the Alternative for Germany (AfD) party are expected to siphon off votes from the CDU and gain an increasing number of seats in next year's poll.
Populist parties throughout Europe celebrated the victory of the U.S. President-elect on Wednesday with far-right groups in France, the Netherlands and Austria buoyed by Trump's surprise win.
In an effort to win over voters who support anti-immigration policies, Merkel's CDU party have been accused of altering their stance in the run-up to the election in 2017.
Brunner is skeptical that Merkel will adopt her party's liberal refugee policy stance too much and argued that it is important to remember the context of an election campaign.
Brunner said, "Merkel's reputation and credibility is so closely linked to refugee policy that it would be extremely hard to U-turn now. Incremental change is as much as can be expected… slow shifts to kick the can down the road until the problem goes away."