"In Islamic legal theory, normal relations between the Dar al-Islam (the Muslims) and the Dar al-Harb (others) were not peaceful, and there existed a state of latent or open hostilities which jurists nowadays call a state of war. Short intervals of peace were, however, permitted by divine legislation (Quran Sura VIII, 63; IX, 1 and others) and the Muslims could establish peaceful relationships with non-Muslims, individually and collectively, if such a peace was not inconsistent with the interests of the Muslims." Encyclopedia of Islam under "Hudna"
Such truces were/are not longer than 10 years but they are renewable. I posited this means to peace once at a discussion in Saudi Arabia and one of the hosts said that "sermons could be preached on that," to which I replied, "yes, but not by me."
It should be remembered that in the 200 year (almost) history of the Crusader States in the Levant there were numerous truces (hudna) They were sometimes for five years, often for ten and sometimes were re-newed. the Muslims were famous for strictly observing these truces as did the more enlightened rulers of the Crusader States. Under the terms of the truce, commerce prospered, people visited each other, real life was possible.
One of the Muslim chroniclers of the period (Usama ibn Munqhid) has recorded his many visits to the Kingdom of Jerusalem. This man, who was from Damascus would stay in the Jerusalem area with the Templars who made a place for him to pray in one of their churches. Doesn’t sound like the Templars in "Kingdom of Heaven?" Well, I like the movie but the Templar thing was crapola. Some will say that the comparison of that time and this is uselessly antiquarian. Those that say that will be wrong. For a great many of the Muslims, probably most, THEN is NOW. All this rhetoric about "Crusaders" is not idle. Americans tend to believe that history began about the time they individually were born. "That’s History" as a dismissive saying is unique to the United States and our view of our own place in human development. The Muslims live in history.
So. There can be peace for a time between the Muslims and the Israelis (the rest are not numerous enough to matter in this). If the Israelis give up all their 1967 gains, allow a general "right of return" for millions of Palestinians, then Hamas government might contemplate a Hudna with them.
Would that mean that the Palestinians under Hamas rule had decided to accept Israel as a permanent feature of life in the Middle East? Not at all. They would merely be waiting for the end of the truce to resume hostilities. Would they observe the truce. Yes. they probably would.