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If you look on your minimap it shows the circle within which he'll be.
If it takes too long for you to find him, he will disappear, then reappear.
I finally caught him above the den. He was sitting up on the rocks overlooking his treasure hoard.
I ran into this same problem. I went just went and found another quest to do and circled back to this after closing my game to force the den to reload which worked. Take the Floo port to the west of the den back and then make sure to use the wait feature to make it night time then walk over to the den, he should be there.
However, I did other quests and came back to the location *without* tracking the quest and it worked.
It's worth noting that before doing so, I had caught a couple of Nifflers from elsewhere (with the intention of releasing them at the location to see if that worked), so they were in my inventory at the time. It worked!
Did some mainquests in the meantime.
came back now -without- tracking the quest and at night.
this time the little dude popped out of the rock at the top.
i also had to collect the jewellery again (after catching niffler).
but no other nifflers in that area.
https://imgur.com/a/NAUVa3V