All Israeli troops have been removed from the Gaza Strip, effectively ending Israel's ground offensive to destroy all militant-used tunnels in the Palestinian territory, Israel Defense Forces said Tuesday.

"The Israel Defense Forces will be redeployed in defensive positions outside the Gaza Strip and we will maintain those defensive positions," Lieutenant Colonel Peter Lerner, a military spokesman, said according to the BBC.

IDF also said it has destroyed 32 underground tunnels used by Gaza militants to cross the border into Israel. Israel previously said the offensive would not stop until all of the tunnels were eliminated.

The Tuesday announcement was made the first day of a three-day truce between Israel and the Gaza-based militant group Hamas that was mediated by Egyptian officials late Monday.

Several previous ceasefires during the nearly month-long conflict have been reached, only to fall apart hours later with a continuation of hostilities.

But so far the 72-hour truce appears to be holding up.

"I think there is one big difference with this ceasefire and that is that Israeli troops have withdrawn," the BBC's Martin Patience said from Gaza City.

Gaza health officials said 1,800 Palestinians, mostly civilians, have been killed since the fighting began on July 8. Two Israeli civilians, a Thai worker and 64 Israeli soldiers were killed.

Displaced residents of the coastal strip slowly returned to their homes, many of which have been razed and destroyed. Some residents were seen stocking up on supplies as they try to wrap their heads around the death toll.

"Our children should at least enjoy a short time of fun, wearing new clothing, playing with toys, but many children are in their graves now, and will not get that chance," 39-year-old Khalid Ali, from Gaza, told USA Today.

If the current truce continues, Israel and Hamas will begin talks in Cairo to avoid future conflicts. Israel wants to Hamas militants to hand over all weapons, while Hamas wants Israel to open up the Gaza border to Israel.