There are very few reasons for Israel to fly into a panic over a few hundred protesters and every one of those reasons makes Israel look bad. On top of this, whenever Israel is confronted with a new situation which they consider "threatening" in some way, the odds are very high that some IDF or security goon will open fire. This is a far greater threat to Israel than anything the protesters can do.
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Hostage-taking in French town ends, hostages safe (AP)
from the article: Israel braces for arrival of hundreds of pro-Palestinian activists