Israeli forces have pummeled areas in northern and southern Gaza whilst also commencing the flooding of Hamas tunnels.
Meanwhile, Hamas has said it has received and is studying a new proposal for a ceasefire and release of hostages held in the Palestinian enclave.
The proposal, presented to the Palestinian militant group by mediators after talks with Israel, appeared to be the most serious peace initiative for months in the Israel-Hamas war.
People bury Palestinians, including those who were killed in Israeli strikes. /Mohammed Salem/Reuters
World powers hope to prevent a wider conflict, but tensions in the Middle East remain high after Yemen's Iran-aligned Houthi rebels said they would keep attacking U.S. and British warships in the Red Sea in solidarity with Palestinians.
Relations between Tehran and Washington are also tense after the deaths of three U.S. soldiers in a drone strike in Jordan that U.S. officials blame on Iran-backed militants. Washington has not yet outlined its response, but Iran's Revolutionary Guards said on Wednesday they would respond to any U.S. threat.
Gaza health authorities said 26,900 Palestinians had been killed - including 150 over the past 24 hours - in the war that was triggered after Hamas fighters stormed from Gaza into Israeli towns on October 7 killing 1,200 and taking 253 hostages.
In the latest fighting, Israel bombarded parts of the city of Khan Younis in southern Gaza, districts of Gaza City in the north, and areas in the Al-Nuseirat refugee camp in central Gaza, residents said.
Smoke rises during an Israeli ground operation in Khan Younis. /Bassam Masoud/Reuters
Hamas begin to study drafted ceasefire deal after almost 4 months of fighting
A senior Hamas official has told Reuters that the Gaza ceasefire proposal involved a three-stage truce, during which the group would first release the remaining civilians among hostages it captured on October 7, then soldiers, and finally the bodies of hostages that were killed.
The ceasefire proposal followed talks in Paris involving intelligence chiefs from Israel, the United States and Egypt, with the prime minister of Qatar. Hamas chief Ismail Haniyeh said he was going to Cairo to discuss it.
However, Israeli Prime Minister Benjamin Netanyahu repeated his vow not to pull troops out of Gaza until "total victory."
Israel says it will not stop fighting until Hamas is eradicated. Hamas says it will release its remaining captives only as part of a wider deal to end the war permanently.
Israel has started flooding tunnels in Gaza, having accused Hamas of operating from tunnels under hospitals in Gaza, a charge denied by the Palestinian group, since the beginning of the war.
"During the war, the IDF has implemented new capabilities to neutralize underground terrorist infrastructure in the Gaza Strip by channelling large volumes of water into the tunnels," the military said in a statement.
The IDF has stated that not all tunnels were being flooded, as the process, which includes attaching pipes and pumps to the shafts, was not suited to all the tunnels and could severely damage some areas.
It also said that before flooding the tunnels it completed "comprehensive" checks to ensure that the groundwater would not be contaminated.
A view of a tunnel which the Israeli Army says it found near a mosque. /Israel Defense Forces/Handout/Reuters
Regional tensions continue to spread
The conflict has triggered concern of an escalation in an already tense region.
The U.S. and Britain have carried out strikes on Houthi targets in Yemen over the group's attacks on Red Sea shipping, and returned the militia to a list of what it judges to be terrorist groups.
But the Houthis' military spokesperson said on Wednesday the group would continue what it called acts of self defense, stoking fears of long-term disruptions to world trade.
With tensions also high over Saturday's drone attack on U.S. service members in Jordan, the U.S. says it has decided how to respond but has not said how.
Iraqi armed group Kataib Hezbollah has said it is suspending all its military operations against U.S. troops in the region. Iranian Revolutionary Guards chief Hossein Salami remained resolute on Wednesday, saying "no (U.S.) threat will be left unanswered."
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