1. A computer system for performing application-level analysis of simulated hardware on a processor of the computer system, comprising: a hardware simulator, wherein the hardware simulator is capable of executing software on the simulated hardware and intercepting interactions between the software and the simulated hardware; and a framework, wherein the framework includes a plurality of analysis modules arranged in a multi-level configuration through which a data stream of one or more data entities corresponding to the interactions between the software and the simulated hardware travels and is processed at each level of the multi-level configuration, the multi-level configuration of the plurality of analysis modules defining an analysis tree with nodes, wherein a root node of the analysis tree is represented by a parent analysis module and each node originating from the root node is represented by a child analysis module, the analysis tree providing hierarchical analysis of data stream, wherein the framework allows dynamic reconfiguration of the plurality of analysis modules within the analysis tree as the one or more data entities travel through the framework, the one or more of the plurality of analysis modules within the analysis tree configured to dynamically filter the data stream by dividing the data stream into a plurality of data sub-streams, wherein each data sub-stream is directed to a respective analysis module for processing based on one or more characteristics associated with the data sub-streams, the one or more of the plurality of analysis modules further configured to dynamically perform one or more of classification, annotation or transformation of the one or more of the plurality of data sub-streams during execution of the software, wherein each of the plurality of analysis modules is dynamically interchangeable to generate a reconfigured framework, the dynamic interchanging includes dynamic cloning of the child analysis module corresponding to a particular analysis module within the analysis tree upon detection of a new source code function, the reconfigured framework updated with the cloned child analysis module is used in performing different types and depths of analysis.