The Israeli army has withdrawn from the village of Beit Hanoun in the north-east of the Gaza Strip, according to residents.
An army spokesman said on Wednesday that the reports were being investigated.
Eyewitnesses said Israeli military operations in the area have left heavy destruction in their wake. Dozens of men were arrested and taken away for interrogation.
The media office controlled by the Palestinian Islamist group Hamas said the Israeli army has arrested more than 5,000 Palestinians from the Gaza Strip since the start of the war on October 7. An Israeli army spokesman said the figures were being checked.
According to the health authority, which is also controlled by Hamas, 33,899 people have been killed and more than 76,600 others injured in the Gaza Strip since the beginning of the war. The figures, which do not distinguish between combatants and civilians, cannot be independently verified.
Meanwhile, negotiations on a new ceasefire in Gaza and the release of further hostages are in "crisis," a senior Hamas member told the news channel Al Jazeera on Wednesday. He accused the United States, which is mediating between Israel and Hamas together with Qatar and Egypt, of "taking sides with Israel."
The Israeli newspaper Haaretz recently reported that Hamas had proposed the release of hostages from Gaza in return for Palestinian prisoners only after a six-week ceasefire. Hamas had previously rejected a US proposal to release 40 hostages in exchange for 900 Palestinian prisoners during a six-week ceasefire.
On Tuesday evening, a high-ranking Israeli delegation spent around two hours in Cairo for talks, according to airport sources. There was no word on any progress or new proposals.