This is exercise 1.11 in the book Fuchsian groups by Svetlana Katok.
Show that every hyperbolic circle in the upper half plane $\mathbb{H}$ is a Euclidean circle (with a different center, of course), and vice versa.
I am aware of the fact that we could work with the ball model as suggested in this answer, but I think that the author's intent was to use the upper half plane model. Has anyone a hint for me showing this?
I tried to consider first a circle around $i$ since in the ball model we consider first circles around $0$, but until now without success.
Edit. We may cheat a bit. In a book on hyperbolic geometry I found the following:
Let $A$ be a circle in the upper half plane $\mathbb{H}$. Suppose the Euclidean centre of $A$ is $a + ib$ and the Euclidean radius of $A$ is $r$. Then the hyperbolic centre is $a + i\sqrt{b^2 - r^2}$ and the hyperbolic radius $R$ satisfies $r = b\mathrm{tanh}(R)$
So we just have to verify this. I mean, if $A$ is above, we have that $A$ is parametrized by $a + ib + re^{it}$. Thus we have to compute $$\rho(a + i\sqrt{b^2 - r^2}, a + ib + re^{it})$$ where $\rho$ is the hyperbolic distance function. I have the formula $$\mathrm{tanh}\left( \frac{1}{2}\rho(z,w)\right) = \frac{|z - w|}{|z - \bar{w}|}$$ However this gets quite complicated...