Yes, unfortunately Israel uses not only the Holocaust, but the growing body of mostly specious scholarship that insists the Allies stood by & did nothing to help the Jews (as if fighting & winning WWII was nothing) as a cudgel against criticism of Israeli policies viz Gaza & the West Bank.

And, of course, the Palestinians are correct: Israel is a settler-colonial state. But a very necessary one. While the Allies didn't just stand by & do nothing during the Holocaust, after the war they certainly did. Israel wasn't gifted by nations wracked with guilt over the Holocaust. It was taken. The UN Partition came about to reduce conflict in a vital region. The principal Allied power in that region, Great Britain, abstained from voting altogether. Jews were pretty much on their own, save for the USSR, briefly.

It was Allies post-war neglect that brought radical (revisionist) Zionism into the fore. And that has profoundly influenced every Israeli government since. But especially the current one. I'm not sure what people are protesting, given that Likud policies are precisely the same as Hamas's: maintain conflict at all costs.