To talk of a "peace process", or even of an entrenchment of the Occupation, you need to acknowledge the existence of a second party to the conflict, who in any practical point of view are in a military struggle, that being a war, with the other party. Maybe you agree with their military-political demands, maybe you disagree. But certainly they exist, and are in fact fighting.
If I were to treat it as reasoning rather than polemic, I would say it's projecting an expected - and feared - possible future backwards into the present. The idea seems to be, "we don't want the Palestinian Arabs to end up as a conquered, dispersed, exiled, or killed former nation, so we treat them as already dead, then cheer for them, being already dead, to rise up and prevent their own deaths ahead of time." That's getting a bit speculative and psychoanalytic, but it does sort of explain the grim, dark "rage against the dying of the light" attitude people display when trying to argue simultaneously that there's no war and that the Palestinian side of the war needs more support.
My objection to the whole complex is: there is no dying of the light. Millions of people are right there, year after year, dealing with various endemic problems because, by and large, the peculiar factionalization of their political system forbids them to do anything else. There's no dramatic moment to wait for. They're just gonna suffer more as long as everyone keeps cheering for them to put victory over coexistence.
