Blinken said negotiations are continuing and he expects a deal can be reached, despite Hamas publicly saying it was unhappy with the latest proposal.
"We will do everything possible to get it across the finish line," he told reporters on Tuesday.
Blinken had traveled to Israel, Egypt and Qatar this week to try to get an agreement, but he only secured approval from Israeli officials.
Key sticking points remain, including the number of hostages and Palestinian prisoners to exchange and a dispute over an Israeli withdrawal from parts of Gaza, including the Philadelphi corridor at the border with Egypt.
The failure to secure a deal is a major setback in negotiations that have tried to return the 109 hostages held by Hamas and ease the suffering in Gaza, where more than 40,000 people have died in 10 months of war.
It's also a setback for the U.S., which has said repeatedly in the last few weeks that a deal is closer than ever.
President Biden and Vice President Harris called Israeli Prime Minister Benjamin Netanyahu on Wednesday to discuss the negotiations.
In the call, Biden was expected to push Netanyahu to be more flexible with the negotiations so a deal can be reached, according to Axios.
But the Times of Israel reported that Netanyahu told the families of the hostages that he was not sure there would be a deal. He also remains adamant on maintaining troops in the Philadelphi corridor.
Negotiations are expected to continue in Cairo this week, but it's unclear if any substantial progress can be made anytime soon.
Blinken also warned this week that it was potentially the last chance to secure a deal as more hostages could die and as Iran threatens to attack Israel in response to the death of the top Hamas leader last month.
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