The 30-year-old was down the pecking order at Crystal Palace last season and joined Manchester United on loan in January, but failed to make a single appearance for them.
Rangers were in search of a goalkeeper this summer and they have signed Butland, who has 87 Premier League appearances under his belt, on a four-year deal.
Ferguson, who worked with Butland during his time at Birmingham City, is of the view that the goalkeeper has every attribute necessary to become brilliant.
The former Gers star also believes that Butland has great presence in the box due to his height and pointed out that the player has so much experience playing top-level football.
“He has a presence and I think as a goalkeeper, you need to have a presence and Jack is 6ft 4 inches”, Ferguson said on the Go Radio Football Show.
“I worked with him previously at Birmingham, but he was young and coming through but he has got a lot of experience in the Premier League, over 200 league games. I saw him at Stoke.
“His career kind of went sideways over the last 18 months, so he has not played a lot of football, but that’s an opportunity.
“He is an England international.
“He has all the credentials to be a really good goalkeeper.”
Butland has featured nine times for the England national team, the most recent of which came in a friendly against Switzerland in 2018.
