Gantz had been expected to resign on Saturday, but he postponed the announcement for one day due to Nuseirat massacre, and left his post on Sunday.
The retired army general, who has served as minister without portfolio since 2023, is regarded to be the main political rival to Netanyahu.
Meanwhile, the White House said on Sunday it expected Netanyahu to agree with the Americans' Gaza ceasefire proposal unveiled by Washington on Friday.
However, two far-right Israeli ministers, Finance Minister Bezalel Smotrich and National Security Minister Itamar Ben-Gvir, threatened to quit and collapse the coalition if Netanyahu agreed to the ceasefire proposal.
Gantz, a former military chief of staff and political centrist, is viewed by analysts as US President Joe Biden administration's likely choice for Netanyahu's replacement.
Tel Aviv has unleashed a brutal genocidal war against the Palestinian people trapped in the Gaza Strip since October 7, killing at least 37,084 Palestinians.
Most of the causalities have been women and children and more than 1.7 million Palestinian people in the besieged Gaza Strip -- where water, food, medicine, power and fuel is blocked by the Israeli regime -- have been internally displaced during this time.
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