Given that Hamas does not operate in the West Bank I’m dubious that what you are describing in a West Bank hypothetical would occur. Illegal settlements in the West Bank are awful and should be stopped by Israel - but they are not directly tied to the current conflict with Hamas.
One has to understand internal CCP politics through very imprecise measures, but one key thing to look at factional power within the CCP. Xi, by all accounts, has managed to suppress and marginalize all other factions within the party. This can be seen in the tangible result of his norm breaking additional term(s?) as leader of the party.
Israel should stop settlements in the West Bank because its the right thing to do. However if I were a Palestinian in Gaza and a peace deal was derailed because Hamas was refusing to agree without West Bank settlement concessions I’d be pretty pissed.
That being said given that Hamas broke the last ceasefire agreement, and their stated goal is to conduct other attacks like Oct 7th, I’m not sure how a ceasefire could be reached even on narrow grounds.