Liverpool face Braga in the Europa League on Thursday night.
“I can see Liverpool going all the way in Europe – and I sincerely hope they do,” Hodgson was quoted as saying by the Daily Mirror.
“Their senior players will now be fit and they will put what they think is their strongest team for the quarter-finals.
“I think the team did extremely well in the Europa League when I was there. Those 10 matches we had were very tough, against very good opposition – arguably one or two of the teams were stronger than those you meet in the last 32.
“We got to that stage without using the bulk of our senior players. Steven Gerrard played a game and a half and Fernando Torres played just one.
“I don’t think Raul Meireles or Glen Johnson played at all, so it was guys like Martin Kelly, Jonjo Shelvey and Jay Spearing that got us through.”