Intense negotiations are taking place in Qatar in parallel with key talks in Washington between US President Donald Trump and Israeli Prime Minister Benjamin Netanyahu, EDnews reports, citing Sky News.
Two sources with direct knowledge of the negotiations have told Sky News that disagreement between Israel and Hamas remains on the presence of Israeli Defence Forces (IDF) inside Gaza.
The issue cuts to the heart of the choice facing Israel - to end the war and withdraw from Gaza with all the hostages but with Hamas remaining as an entity, or to militarily occupy Gaza indefinitely.
The two sides have bridged significant differences on several other issues, including the process of delivering humanitarian aid and Hamas's demand that the US guarantees to ensure Israel doesn't unilaterally resume the war when the ceasefire expires in 60 days.
On the issue of humanitarian aid, Sky News understands that a third party that neither Hamas nor Israel has control over will be used in areas from which the IDF withdraws.
This means that the controversial Gaza Humanitarian Foundation (GHF) - jointly run by an American organisation and Israel - will not be able to operate anywhere where the IDF is not deployed. It will limit GHF expansion plans.
It is believed the United Nations or other recognised humanitarian organisations will adopt a greater role.
On the issue of a US guarantee to prevent Israel restarting the war, Sky News understands that a message was passed to Hamas by Dr Bishara Bahbah, a Palestinian American who has emerged as a key back channel in the negotiations.
The message appears to have been enough to convince Hamas that President Trump will prevent Israel from restarting the conflict.
However, there is no sense from any of the developments over the course of the past day about what the future of Gaza looks like longer-term.