US President Joe Biden warned Wednesday of the possibility of an "all-out war" in the Middle East but said he was hopeful a settlement was still achievable for the conflict-torn region.

Biden's comments as he appeared on ABC chat show "The View" came as Israel put troops on alert for possible entry into Lebanon and the war in Gaza grinds on.

"An all-out war is possible," Biden said when asked about the situation. "What I think is, also, the opportunity is still in play to have a settlement that could fundamentally change the whole region."

Biden appeared to raise the possibility of a ceasefire in Lebanon, where Israeli strikes targeting the Hezbollah militia have killed more than 600 people this week.

"They have a possibility -- I don't want to exaggerate it -- there's a possibility if we can deal with a ceasefire in Lebanon that it can move into dealing with the West Bank as well," said Biden.

Israel has been carrying out deadly raids in the occupied West Bank since late August targeting what it says are Palestinian militants.

Biden added however that "we also have Gaza to deal with", as efforts stall to get a ceasefire deal to end Israel's war on Hamas in Gaza after the group's October 7 attacks.

"But it's possible and I'm using every bit of energy with my team to get this done. There's a desire to see change in the region," he said.

The US president also pressed Israeli Prime Minister Benjamin Netanyahu to drop his opposition to an independent Palestinian state to end the crisis.

"I don't agree with his (Netanyahu's) position. There needs to be a two-state solution," Biden told the show's all-women panel, led by US comedian Whoopi Goldberg.

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