Tottenham are currently third in the Premier League table, six points behind leaders Liverpool.
Chelsea are four points behind Spurs in fourth and look set to be in a battle for the final Champions League qualification spot this season.
The two teams go head-to-head on Tuesday evening at Wembley in the first leg of the Carabao Cup semi-final.
Cascarino admits Chelsea have been far more successful in terms of silverware, with Spurs’ last trophy coming in 2008.
But he reckons the north London outfit have now started to create a gap on the pitch.
“Chelsea have been continual winners from 1997 onwards,” Cascarino talkSPORT.
“Chelsea were in front of Tottenham, but the last two years Tottenham have caught up.
“Okay, they’ve not won things, but they’ve been higher in the league, more stability at the club, players wanting to stay.
“It’s more about stability [at Tottenham] and a team that is thriving.
“Chelsea got battered in the league game, 3-1 at Wembley.
“Tottenham go into this game favourites.
“I really hope that Chelsea can show a lot more.
“They have to put on a real performance because there is a bit of a gulf.
“It’s only four points in the league, but it feels like Tottenham are far more likely to get a Champions League spot.”
Tottenham will be without Lucas Moura for the visit of Chelsea due to injury.
Chelsea’s Willian, Pedro and Olivier Giroud all remain doubts.