Food is reportedly running out and sanitary conditions deteriorating at the Church of the Nativity, where more than 100 Palestinian fighters and police have been sheltering for more than two weeks.
The building is surrounded by Israeli forces, who have been using psychological warfare tactics, broadcasting ear-splitting noise to attempt to force the Palestinians to give in.
Negotiations have failed to end the siege. The Palestinians say the presence of a third party is essential for a peaceful outcome.
Prime Minister Ariel Sharon has said the troops will remain in Bethlehem until the militants surrender.