If any of the powers at play had "balls" as some might say, or the resolution to go to all out war, or let call it what it is and say stupidity, they would have done so a long time ago if we were to go by the rhetoric. The last few wars in the region such as the Six Days War, Iran Iraq War, etc were costly and nobody really gained any clear advantages.
I'm inclined to agree that Israel won't do a whole lot openly. They'll do their little thing here and there, but most of what they do will be in secret. Yes, Israel has one of the best trained and best equipped forces in the region and even the world in a number of areas, but given their situation of practically being surrounded by governments that done like them (or each other for that matter) it just makes more sense for them to just rattle sabres to let everyone know they still exist and do the actual work under the table.
"Don't confuse facts with reality."
-Robert D. Ballard