Ten Palestinians were killed and four Israel Defense Forces troops were lightly wounded as intense fighting between the IDF and Gaza militants continued amid ongoing rocket fire.
Meanwhile, Palestinian militants in Gaza fired 21 rockets at southern Israel, leaving one person lightly wounded.
The Israel Air Force carried out two strikes on the Gaza Strip on Sunday evening, after a few hours of relative quiet.
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In one incident, the IAF attacked the western Gaza home of Palestinian Resistance Committee militant Khalil Ahel, who was killed in a strike two days ago.
The IAF also carried out another strike in a separate location in Gaza during the evening. There was no word of injuries in either of the latest attacks.
Earlier Sunday, two Palestinians were killed during an ongoing IDF operation in Jabaliya, in the northern Strip. Palestinian sources said a 21-month-old baby girl was also among Sunday's dead.
Several other Palestinians succumbed to wounds suffered in Saturday's fighting, bringing the total number of Palestinians killed since before dawn Saturday to more than 70.
IDF ground troops continued to operate Sunday in northern Gaza City in an attempt to stem the ongoing Qassam rocket fire at Israeli communities.
IDF Ground Forces Commander Avi Mizrachi said ground troops are operating with the assistance of the air force.
Palestinian militants set off a bomb next to the troops Sunday morning, but there were no injuries.
The IDF is taking up key positions in the city, and conducting extensive searches for militants. Troops are also questioning residents in order to determine their level of involvement in terrorism.
Deputy Chief of Staff Dan Harel called the fighting "difficult and concentrated," adding that the operation is continuing uninterrupted deep in the Gaza Strip and along the border.
"This is combat in a dense built-up area," he said. "The enemy has thus far lost dozens of its fighters and its infrastructure has been damaged. The IDF will not be deterred from fulfilling its duty, which is to defend the citizens of Israel. Unfortunately the road is still long but we are determined to complete the mission."
IAF hits Haniyeh's headquarters in Gaza
IAF aircraft struck seven targets in the Gaza Strip in the early hours of Sunday, including the Gaza headquarters of Ismail Haniyeh of Hamas, who was deposed as Palestinian prime minister following Hamas' violent takeover of the Gaza Strip last June.
The IAF fired three missiles at the building, which completely collapsed, and at least five people were wounded in the strike, according to Palestinian witnesses.
Hamas said in response that the strike "crossed all red lines regarding the Zionist enemy's fire."
In addition to Haniyeh's headquarters, three arms warehouses were targeted, including two in southern Gaza and one in Jabalya, the IDF said. The military also struck three weapons production facilities, two of them in Gaza City and one in Rafah.
The IDF also opened fire on an armed militant in northern Gaza, and said troops confirmed hitting him.
On Saturday, two IDF soldiers and 63 Palestinians were killed in an IDF operation in northern Gaza City. The operation is expected to continue for several days.
Over the weekend dozens of Qassam rockets and Katyushas were fired at Ashkelon, Sderot and communities bordering the Gaza Strip. Seven Israeli civilians were lightly wounded.
Egypt opens Gaza border in order to evacuate the wounded
Egypt unsealed a sensitive border crossing on Sunday to let Palestinians wounded in an Israeli offensive in the Gaza Strip cross into Egypt for
medical care.
Egyptian security sources at the Rafah border crossing - largely closed since the Hamas Islamist group seized control of Gaza last June - said at least 40 wounded Palestinian civilians crossed into Egypt on Sunday.
Ambulances waited at the border to take more wounded.
"It is inconceivable for Egypt not to extend a hand of aid and assistance to its Palestinian brothers, especially the wounded among them, who have been falling in recent days during brutal Israeli military operations," Egypt's foreign ministry said in a statement.
The statement added that Egypt had taken the decision to admit the Palestinians as part of "assuming a humanitarian duty toward what the Palestinian people are facing."
Egyptian security sources said Egypt had not set a limit on how many Palestinians would be allowed in. North Sinai Governor Ahmed Abdel Hamid said he expected the number of wounded Palestinians entering Egypt would exceed 200.
"We have mobilized all our efforts to receive and treat our Palestinian brothers in our hospitals," Emad Kharboush, a medical official at El-Arish hospital, told The Associated Press.
Hospitals in the northern Sinai were on alert and state news agency MENA said some wounded would be taken to Cairo for treatment.
Sunday was the first time Egypt has agreed to open the crossing since Hamas blew up part of the border wall on January 23, letting hundreds of thousands of Palestinians cross over.