No, you are the one missing the point. The status quo has changed considerably: in 1967 there was no peace treaty with Egypt and Jordan, and Middle-East politics were overall different. Syria has become a pariah state, Egypt is bribed by the U.S. to behave, Jordan has cut off Palestine and is no longer looking to annex territory, Israel has nukes, and so on.You're utterly missing the point here.
The fact that there were attacks then says that the Arabs want war with Israel regardless of the "occupied territories". Going back to the 67 borders would go back to the status before the 67 war--which was a pattern of repeated raids from Israel's neighbors.
As Israel became capable of taking out their bases in the neighboring countries the tactics switched from small unit attacks to terrorism but it's still the same war.
There is no coherent group called "Arabs" that would revert back 50 years if Israel were to pull out of West Bank, and Israel is already facing terrorist attacks so it can't really get any worse.
The peace treaties with their neighbors are irrelevant now that it's a war of terrorism.
The basic problem is that there are powerful forces in the Islamic lands that want war. They put enough money towards this objective that somebody will take it. So long as this money flows there will be war.