Quantum entanglement is an essential feature of many-body systems that impacts both quantum information processing and fundamental physics. The growth of entanglement is a major challenge for classical simulation methods. In this work, we investigate the relationship between quantum entanglement and quantum simulation, showing that product-formula approximations can perform better for entangled systems. We establish a tighter upper bound for algorithmic error in terms of entanglement entropy and develop an adaptive simulation algorithm incorporating measurement gadgets to estimate the algorithmic error. This shows that entanglement is not only an obstacle to classical simulation, but also a feature that can accelerate quantum algorithms.