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Israel and Hamas could be nearing a hostage release agreement.
A representative of the White House has indicated that a significant number of Israeli hostages held in Gaza could be released in coming days.
The Israeli ambassador to the United States Michael Herzog emphasised the sensitive nature of the talks but confirms efforts are being made to free them.
"We are hopeful that we can get a significant number of hostages freed in the coming days. I don't want to go into the details of these talks. They are obviously very sensitive. The less we go into the details, the better the chances of such a deal. But they are very serious efforts, and I'm hopeful that we can have a deal in the coming days."
Qatar, who is mediating the talks, claims that there are a few minor obstacles affecting the release of the hostages.
Family members and thousands of supporters of the more than 240 hostages poured into Jerusalem on the weekend, criticising Israeli Prime Minister Benjamin Netanyahu's management of the war and pleading with the government to bring the hostages home.
As public pressure mounts, Mr Netanyahu has confirmed Israel's War Cabinet would meet with representatives of the families this week.
The confirmation comes as Israeli Defence Forces release new images of what they say is a 55 metre long underground tunnel under the Al-Shifa Hospital.
The Israeli government claims Hamas is using the Al-Shifa Hospital for military purposes.
The IDF claims that the tunnel leads to a Hamas command centre which Hamas has always denied.
Mr Hagari calls on Hamas to release all Israeli hostages.
"The Israel Defence Forces has a moral obligation to bring everyone, every one of our hostages home. We will not rest until we do. Hamas was hiding and murdering our hostages in Shifa Hospital. Hamas was building terror tunnels underneath Shifa Hospital. By now, the truth is clear. Hamas wages war from hospitals, wages terror from hospitals. Everyone who cares about the further, the future of humanity, must condemn Hamas."
But a senior Hamas spokesperson Osama Hamdan has denied the claims.
"They (The Israelis) didn't talk about a tunnel. They claimed that this hospital was a command centre, control, administration, and domination, an issue which is much bigger than just a tunnel. Where is that? There's nothing of that sort. Not because we hid it correctly, but because this is the truth that the occupation is lying about, just as they lied about the festival. Whether the occupation finds a hole here or there, enters a tunnel here or there, it does not mean much. We don't deny that tunnels extend along the roads and streets in Gaza for hundreds of kilometres. We have never hidden that."
Thirty-one premature babies have been safely transferred from the Al-Shifa hospital to another in the south with the possibility of the babies being moved to Egypt for further treatment.
Doctors say there are still approximately 200 people left inside the hospital.
As Israeli forces fought Palestinian militants in the vicinity of the hospital, a fuel shortage forced the shutdown of incubators and other equipment with food, water, and medical supplies also running out.
Head of the premature and neonatal care department at Al-Shifa hospital Dr Nasser Bulbul says some babies had already died due to conditions inside the hospital.
"Six cases of premature babies died due to water pollution and due to the lack of pure water to prepare the milk. All cases suffer from bacterial poisoning and their health condition is at risk. They were transported in six ambulances and four vehicles from the United Nations, the transferring process was 'semi-safe'. There was a problem in providing the necessary temperature to ensure that the health condition of premature babies did not deteriorate."
In other developments, Yemen's Houthi rebels say they have seized an Israeli ship in the southern Red Sea.
The Israeli government confirmed the ship Galaxy Leader is affiliated with an Israeli billionaire but no Israeli connections or Israeli crew were on board.
A United States defence official also confirmed the seizure, which comes after US warships twice intercepted missiles or drones believed to be headed towards Israeli or American vessels.
Houthi Military spokesperson Yahya Sarea says the group will continue to target Israeli ships as long as the Israeli offensive continues in Gaza.
"Our Armed Forces confirm the continuation of carrying out military operations against the Israeli enemy until the aggression on the Gaza Strip stops and the ongoing heinous crimes against our Palestinian brothers in Gaza and the West Bank cease."
The Iran-backed group says it has taken the crew of the ship hostage.
Hamas' Health Ministry in Gaza says more than 11,500 people, two-thirds of them women and children have now been killed since the war began, with around 2,700 people reported missing.
Israel says at least 1200 Israelis have been killed since the October 7 attack which triggered the current conflict.
