The assessment of geothermal potential has gained prominence among scholars, with a focus on establishing a reliable prediction model to reduce development risks. However, little attention has been given to predicting and evaluating the geothermal potential in Dali’s Eryuan area. This study introduces a novel hierarchical model integrating remote sensing, a Geographic Information System (GIS), and geophysics for the first-ever effective prediction of geothermal potential in Eryuan. The dataset includes lithology, seismic epicenter data, fault distribution, Bouguer gravity anomalies, SRTM-DEM images, and Landsat 8 remote sensing images. These datasets are converted into evidence maps and normalized to generate distinct evidence factor layers. Using the Analytic Hierarchy Process (AHP), a hierarchical model establishes weights for each evidence factor, resulting in a comprehensive prediction map. The results reveal the overall favorable geothermal potential in Eryuan, except the central area. Key hotspots include the Niujie–Sanying–Gromwell Lake and Liantie–Qiaohou, followed by the Youshou, Dengchuan, and Xixiang towns. Validation against known hot springs confirms the model’s accuracy and reliability.