The Primera Liga outfit announced that they had parted company with their boss shortly after Sunday's 2-0 defeat to Osasuna.
That setback leaves the Yellow Submarines ninth in the Spanish top flight, eight points adrift of the UEFA Champions League places.
Valverde was only appointed at El Madrigal over the summer, stepping into the void created by Manuel Pellegrini's defection to Real Madrid.
He has, however, lasted just seven months in the post after failing to impress the club's board.
Valverde has previously worked at Athletic Bilbao, Espanyol and Olympiakos.
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