Israeli forces have killed at least 121 Palestinians in Gaza since weekly demonstrations started on March 30.
At least 121 Palestinians have been killed by Israeli fire in the unrest.
"After the resistance succeeded in confronting the [Israeli] aggression. there was a lot of mediation in the past hours", Khalil al-Hayya, Hamas' deputy chief in Gaza, said in a statement on Wednesday.
Tuesday's violence bore a striking resemblance to the run-up to past wars.
The majority of the Palestinians killed were shot by Israeli snipers after the protesters approached the Gaza border fence.
By late Tuesday, Israeli aircraft had hit 55 facilities belonging to militant groups in Gaza, including a cross-border tunnel under construction, in response to the Palestinian barrages, the military said.
As part of their protest campaign, Palestinians launched a ship from Gaza's Mediterranean coast Tuesday, aiming to break the Israeli blockade of the territory, according to spokesman Sallah Abdulati. "Mortars fired by Palestinian militants hit civilian infrastructure, including a kindergarten", the press release quoted U.S. Ambassador to the United Nations Nikki Haley as saying.
Israel's Defense Forces (IDF) said three of its soldiers were wounded by mortar fragments on Tuesday, Haaretz reported.
"It could be that the other side is not interested in escalation", said Bennett, adding that Israel will not be the ones to cause the situation to deteriorate.
The exchange of fire raised the possibility of yet another war in the beleaguered Palestinian enclave run by Islamist movement Hamas, which would be the fourth since 2008.
Islamic Jihad announced an Egyptian-brokered ceasefire agreement with Israel. Shehab said some militants rejected the cease-fire and were continuing to fire rockets.
The Indonesian Foreign Ministry said it had received the information about the ban, but declined to comment on the policy. In fact, it creates a bypass route through Egypt into Israeli territory.
But Israel has faced worldwide criticism and calls for an independent investigation over its use of live fire during the protests and clashes along the border. But the protests appear to be fuelled primarily by a desire to ease the blockade.
"Israel will exact a heavy price from anyone who tries to attack it, and we view Hamas as responsible for preventing such attacks against us", Netanyahu said after conducting an emergency meeting at the Prime Minister's Office.
After a day that saw an vast barrage of rockets and mortars fired at Israelfrom terrorists in the Gaza Strip, red alert sirens have continued late into the night, forcing tens of thousands of Israelis to sleep in protective shelters. Hamas acknowledged it was mostly a symbolic act.
Passengers from one of the leading flotilla boats were arrested and escorted to the Israeli port of Ashdod. It said some of the mortars fired were supplied by Iran.
In southern Israel, angry residents complained about the renewed rocket fire. No deaths were reported in either attack. Others landed in open fields in southern Israel.
"It's been a really scary morning", said Adele Raemer of Kibbutz Nirim.
Israel has long said it would not tolerate such attacks.
But on Tuesday, the Palestinians came under criticism. A large number of the projectiles launched from Gaza failed to clear the border and thus were not included in the military's figure.