The Israeli Army, on Monday, ordered tens of thousands of Palestinians in Rafah, Southern Gaza, to evacuate from the camps, indicating that a long-awaited ground assault was on the way.
The latest development has hindered last-ditch efforts of foreign negotiators, including the head of the Central Intelligence Agency, to mediate a cease-fire.
Qatar, a crucial mediator, has warned that an attack on Rafah will stall and jeopardise the negotiations.
Israel has classified Rafah as the last important Hamas bastion after seven months of conflict, and its commanders have repeatedly said that a ground invasion is required to destroy the group.
According to Lt. Col. Nadav Shoshani, an army spokesperson, around 100,000 individuals have been instructed to relocate to Muwasi, a neighbouring humanitarian zone proclaimed by Israel.
The action comes one day after Hamas launched a fatal missile strike from the region, killing three Israeli troops.
Shoshani also said that Israel had released a map of the evacuation region and that leaflets were communicating orders dropped from the sky, text messages, and radio broadcasts.
Israel's intention to assault Rafah has sparked global concern because of the possible devastation to more than a million Palestinian residents staying there.
Meanwhile, the United States, Israel's closest ally, has repeatedly advised Israel not to carry out the invasion, claiming it lacks a viable strategy to protect civilians.
Even while the US, Egypt, and Qatar have pressed for a cease-fire agreement, Prime Minister Benjamin Netanyahu said last week that the IDF would advance on the town "with or without a deal" to eliminate Hamas.
On Sunday, Defence Minister Yoav Gallant claimed Hamas wasn't serious about a ceasefire and warned of "a powerful operation very soon."
His remarks come after Hamas assaulted Israel's major border point on Sunday, killing three troops while offering assistance.