The Spanish Football Association (RFEF) appeals committee on Thursday downgraded Marcelo's two-match ban for kicking Levante's Jefferson Lerma to one match.
The Brazilian will only miss the match on Sunday against Real Sociedad, and will be available to return again next Wednesday for a La Liga match against Betis.
The news came hours after a news conference with Marcelo and Madrid announcing that he had added another two years to his contract, previously due to expire in 2020. Real Madrid had filed an appeal on Wednesday.
Marcelo, 29, has won 17 trophies since joining from Fluminense in January 2007, including four La Liga titles and three Champions Leagues.
He was dismissed in the 1-1 draw after kicking out at midfielder Lerma as the pair tussled on the ground following a challenge