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However, CNN's Tom Mintier, who is in Yangon, says that while there is plenty of optimism and plenty of talk, there has been nothing concrete from the government pointing to an imminent release.
Outside the detained opposition leader's home a police barricade remained firmly in place Thursday with no sign of it leaving any time soon.
Speculation
The flurry of speculation over the opposition leader's possible release began last Friday after United Nations special envoy Razali Ismail left the country following what were seen as make-or-break talks with senior generals in Myanmar's military government.
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Optimism over the possible release of Aung San Suu Kyi may be premature, says CNN's Tom Mintier in Yangon. 1.98MB
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During his visit he also met with Aung San Suu Kyi herself in her heavily guarded home in Yangon.
Earlier this week, speaking to reporters in Malaysia, Razali said he expected "something big" to happen in the coming days.
Although he avoided details, many observers believed that meant Aung San Suu Kyi would soon be released from house detention.
His comments followed a statement Myanmar Labor Minister Tin Win at the weekend who told reporters that the government would make a major announcement "in a few days."
In Yangon itself, speculation was further heightened by reports of unusual activity outside Aung San Suu Kyi's home, with city workers cleaning up the area outside and filling in potholes in the road.
University Avenue, where her house is located, has been closed to the public for several months.
Travel ban
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Witnesses have reported unusual activity in the area outside Aung San Suu Kyi's Yangon home
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Aung San Suu Kyi has not been seen in public since September 2000 when she was confined to her Yangon home after trying to leave the capital by train in defiance of a government travel ban.
If she is indeed to be freed, observers say the key question will be the degree of political activity she will be allowed to undertake.
On Tuesday, the U.S. State Department said it would welcome her release but warned that it should be unconditional and would not automatically result in a lifting of sanctions against the military regime.
"It is important that the release be unconditional and that Aung San Suu Kyi be afforded full freedom of movement and association," a spokesman said.
"We hope the reports out of Rangoon indicate the Burmese regime is serious about political reform and national reconciliation."
-- CNN's Tom Mintier in Yangon contributed to this report
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