It should be noted that Miller-Heidke's performance in this year's Eurovision has stirred up lots of controversy, following the ongoing call from people for artists to boycott Israel in protest of their occupation of Palestine.
Earlier this month it engaged in three days of fighting with Israel that included hundreds of rocket attacks from Gaza and Israeli air strikes in the enclave.
"But I am happy to say that within a few minutes we managed to assume control over this phenomenon".
Madonna, 60, is expected to perform two songs in Tel Aviv, one from her upcoming "Madame X" album to be released in June. Four Israelis and 25 Palestinians were killed during the escalation.
Palestinians and their foreign supporters have called, so far fruitlessly, on countries to shun the Tel Aviv songfest as part of wider efforts to isolate Israel internationally.
Pop superstar Madonna on Tuesday explained her decision to perform at the Eurovision Song Contest in Israel this week, saying that she will always speak up to defend human rights and hopes to see "a new path toward peace".
The insider added that the Material Girl would bring a massive entourage of 160 people and the bill to bring her and her team to Tel Aviv comes in at a staggering $1m (£775,000).
Semi-final rounds are slated for Tuesday and Thursday, followed by the finals on Saturday evening.
Al Jazeera's Harry Fawcett, reporting from the rally, said: "For the activists here, it [the protest] coincides with the first anniversary of the moving of the USA embassy to Jerusalem and the border protest that took place in Gaza on the same day when more than 60 Palestinians were killed by Israeli sniper fire".
But in a statement to CNN, the singer said, "I'll never stop playing music to suit someone's political agenda nor will I stop speaking out against violations of human rights wherever in the world they may be".
The BDS - modelled after the South African anti-apartheid movement - was formed in 2005 by more than 200 Palestinian civil society organisations, urging non-violent pressure on Israel until it complies with global law.
Israel has launched a PR campaign to counter calls for a boycott of the Eurovision contest by the worldwide Boycott, Divestment, Sanctions (BDS) movement.