It certainly seemed as if it was all over. He, the gadol hador and his midwife wife, who had delivered countless babies in the most trying of circumstances, had separated so that no more of their own would bear the oppression of Mitzrayim. Many others took their lead, and a gloom that was probably never repeated in our history, must have taken hold. It was only the reasoned rebuke of their very young child that convinced them to be a family once again, in order to bring at least one more generation of Jewish women into the world.
Strangely enough, this story which resulted in the birth of Moshe and as such is the seeding of our redemption, is only eluded to in the Torah. Quite ironically, the very parsha and sefer named "names" deletes the names at one of the most important junctures of the text. It is left to the Medrash to relay this event in elucidating a seemingly unnecessary narrative (2:1), "And a man went from the house of Levi and took a daughter of Levi." Ramban notes the cryptic record and he suggests that Hashem chose brevity here, in order to emphasize other aspects of the ensuing story.
Nevertheless, there must be some instruction hidden in this presentation, for otherwise the story could have been entirely relegated to the medrash without any allusion in the text.
Perhaps the cryptic record in the Torah forces us to focus on some underlying truth. It may have been the refreshing insight off their daughter, accusing them of a greater crime than Pharoh, that forced them to reconsider. But it took more than that to have them change a life altering decision. Indeed, the about face came not from their own piety, which chazal note was outstanding, nor from the youth that they brought into the world that might one day look back rather quizzically. From where, then, did they gather the strength to backtrack from a position that had already taken hold amongst their people?
The text intimates that Yocheved being a "bas Levi" and Amram coming from the "beis Levi" encouraged them to act on the advice of their daughter. Apparently, Yocheved, the "bas Levi", was moved by the legacy for which she held herself responsible. I would speculate the she could not accept that the piety of her parents and ancestors and their intricate and intimate relationship with Hashem, was destined to perish in Mitzrayim. Amram, it would seem, found strength in the home from which he came, one that already felt responsible for the religious life of their people and was tending to their needs.
Thus, the story that emerges is that our redemption took off only through those who were dedicated to the legacy of their forebears, unwilling to accept the disappointment of their mission. Perhaps that was necessary for Hashem to invoke that same concern some 23 pesukim later and on several occasions after that (3:15, 6:3). It may well be that the assuredness of their faith in their parents' efforts and their ensuing actions became a prayer that was accepted to bring about the birth of Moshe.