This victory sets up a quarter-final clash for Serbia against Australia. The defending champions, the United States, are now out of the competition, with one more day of quarter-final play in Perth before the event shifts to a weekend finish in Sydney.
The eight-time Melbourne champion, who is chasing a record-extending ninth triumph at the Rod Laver Arena, took to the court to face Canadian Milos Raonic in the fourth round on Sunday.
The final match of the Sunday night session was clouded in uncertainty however and it was uncertain if Djokovic would even turn up to play due to injury.
The 33-year-old suffered what he called a muscle tear in the previous round when he defeated American Taylor Fritz in five sets.
Djokovic needed a medical timeout in the third set but recovered in the fifth for victory to set up a showdown with Raonic.