"But honestly, what radicalizes Palestinians far more than Israel is their intense hate-on for the Jews"

I'm not sure what has you so convinced of this. I've watched so many interview with Palestinians over the past month. They hate the blockade, yes, but almost none of them have expressed hate for Jews. No more than the Jews I've seen interviewed expressed hatred for Palestinians.

The Quran says all kinds of terrible things. As does pretty much every "holy" book. But most religious people don't adhere to (in fact, most aren't even aware of) every word written in their holy books. Jihad is a feature of Islam. But far from all Muslims are Jihadis.

Beyond that, polling from 2006, the last we have before Hamas came to power, showed that 79.5% of Palestinians wanted peace with Israel (neareastconsulting.com/…). 75.2% thought Hamas should change its policies regarding Israel. The evidence suggests that Palestinians aren't the radicalised sociopaths you seem to think they are.

Religious dogma is always an obstacle to resolving any real-world issue. There is certainly hate there (again, from some Jews too). But I think most people, Palestinians and Jews, still want peace. Or, at least, they prefer it to the alternative.