Wolf replaced Sebastian Mielitz in the side for the final four games before the winter break after the latter conceded 26 goals in 14 games in all competitions.
The 25-year-old also struggled in his four outings, conceding 14 goals, including seven in one match against Bayern Munich, but Dutt is happy with what he had seen from the former Hamburg man.
"It was a very tight race in which we have now made a decision that we are happy with," PA quotes Dutt as saying.
"Raphael did a good job in his four games before the winter break and he has confirmed this impression during training. Therefore, we have decided to keep our faith in him."
Werder Bremen are currently 11th in the Bundesliga table and will restart their campaign against Eintracht Braunschweig on Sunday.