The resurgent Rafael Nadal and defending champion Andy Murray also remained on course for a semi-final clash as they eased past Sam Querrey and Gilles Simon respectively in straight sets.
Djokovic is playing in Madrid for the first time in three years, but hasn't taken long to adjust to the different conditions in the altitude of the Spanish capital as he has reached the quarters for the loss of just nine games.
"Today the way I played gives me a lot of satisfaction. I'm just hoping I can continue playing this well tomorrow."
The Serb will continue his quest for a fifth title of the season against Milos Raonic as the big serving Canadian dumped out seventh seed Jo-Wilfried Tsonga 6-4, 6-4.
Nadal stretched his perfect start to the European clay-court season to 12 matches as he fought back from going down an early break to beat Querrey 6-4, 6-2.
Nadal started slowly as Querrey stormed into a 3-0 lead and had a break point to lead 5-2. However, Nadal turned the match around by winning six straight games to seal the first set and break early in the second.
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