The Saddlers head to Preston on Sunday flushed with confidence following four wins from their last five matches.
Remarkably, the winning streak comes on the back of a 16-game stretch without victory in all competitions that spanned almost three months.
"Even when we were on our winless run, the players knew that things would turn around eventually," Paterson told Walsall's official website. "We couldn't have gone on the run we did earlier in the season without having quality within the squad and we are showing that again.
"The belief has remained throughout amongst the players and we've come back with wins to move up the table.
"Hopefully we can maintain this kind of form and get ourselves into the top half of the table. We haven't been in this position for a couple of years and it's positive.
"We can beat any team at this level on our day and it would be nice to think that we can finish with a flourish and see where it takes us. We beat the likes of MK Dons and Stevenage over Christmas and these are teams going for promotion, so it shows what we are capable of."
- Sports & Recreation