All interpretations make the same predictions, so there is no experiment that can tell us that one is more or less valid than another. So yes, the simulation hypothesis is as valid as any other.
But because all interpretations are equally valid and say the same thing, there's little point in arguing about their relative merits. None of them make the strangeness of quantum mechanics go away, they just push it around. So you can choose whichever one you find most palatable, you can even choose to apply different interpretations to different problems, and the appropriate response to the statement "Simulation hypothesis is valid" is a big yawn and a "so what".