Multiple sources have said that an IDF move in Rafah is not on the immediate horizon, even as Israel has made some progress in negotiations with Egypt over the issue.
Currently, Hamas controls the area along the Egyptian border, and this remains one of the last Hamas strongholds in Gaza.
This comes amid reports that the tense relationship between Israel and Egypt is on the verge of collapse following weeks of a 'deepening chill' amid the IDF's war on Hamas.
Without Egyptian support, the likelihood of a hostage deal drops dramatically and the likelihood that the Jewish state gets stuck owning and running Gaza against its will rises dramatically.
Egyptian Foreign Minister Sameh Shoukry said on Tuesday that the priorities for Gaza were a ceasefire, delivery of aid, and preventing displacement of Gazans into Egypt.
Despite the focus on Khan Yunis, Rafah, surprisingly, emerges as a more intricate trap, as the conflict there poses significant challenges on multiple levels.
UN Refugee Chief warns that an Israeli assault on Rafah could trigger a refugee crisis, making Israeli-Palestinian conflict resolution impossible. Global condemnation mounts as tensions escalate.
On Monday, the border authority said that no one who was not on one of the lists would be allowed through, citing Egyptian authorities.
At least 320 foreign nationals and dozens of severely injured Gazans were among the first beneficiaries of the Qatari-mediated deal brokered between Egypt, Israel and Hamas.
"As long as we have a degree of certainty that some of the aid is being diverted to Hamas - and we do have that certainty - then all the states of the world must refrain from providing [it]."