"The US Mission in Turkey has resumed processing visas on a limited basis", the embassy said Monday, according to an email seen by Reuters.
Last month, the United States halted most visa services for Turkish citizens after Turkish authorities arrested Metin Topuz, a Turkish employee at the US consulate in Istanbul, deepening already strained ties between Ankara and Washington.
In turn, the Daily Sabah reports that the Americans resumed the issuance of visas to the visit of Prime Minister of Turkey, Binali Yildirim, in the United States.
Turkey blames Gulen, a US-based Muslim cleric, for orchestrating last year's failed coup attempt.
The US decision to stop handing out visas took effect from October 8 and was followed by a tit-for-tat move by Turkey to stop giving Turkish visas to Americans.
The Turkish Embassy in Washington tweeted soon after the American statement was released that the Turkish government would begin to process visa applications of USA citizens on a "limited basis" as well.
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"The reference to the security situation in the Embassy's statement does not reflect the truth, and is considered odd since Turkey has taken all the necessary measures for the security of all diplomatic and consular missions in Turkey, including those of the U.S., and as the United States side stated at every occasion that there is no need for additional measures", the embassy said.
The statement came after a statement by the US' embassy in Ankara, which said that United States received initial high-level assurances from Turkey that there were no additional local employees of USA missions under investigation.
It said it also received "initial assurances" from Ankara that its local staff would not be detained or arrested for performing their jobs. Turkey regards the YPG as an extension of the outlawed Kurdistan Workers Party (PKK).
An email from USA visa services received by some Turkish visa applicants said applications were being processed on a limited basis at US diplomatic representations in Turkey.
Washington condemned the move as baseless and damaging to bilateral relations.
Meanwhile, members of Erdogan's security detail were indicted by USA authorities after clashes with protesters during an official White House visit in May, infuriating the Turkish president.