Press Secretary Sarah Sanders later issued a statement that said the reporter's "hard pass" was suspended as a result of his attempt to keep control of a microphone during Wednesday's news conference with the president. "This conduct is absolutely unacceptable".
"It is also completely disrespectful to the reporter's colleagues not to allow them an opportunity to ask a question", added the WH Press Secretary.
During the news conference, President Trump said Republicans "defied history" to make Senate gains in the USA midterms.
"They can play that game, but we can play better because we have a thing called the United States Senate, and a lot of questionable things were done between leaks of classified information and many other elements that should not have taken place", Trump said during the almost 90-minute session with reporters in the White House East Room.
Trump stepped away from the lectern for a a few seconds before returning to the microphone to take aim at Acosta again. "The intern reached over Acosta to grab the microphone while he was trying to ask another q and Acosta tried to pull away", Haberman wrote.
"This president's ongoing attacks on the press have gone too far. You aren't the best", Trump told Alexander.
"This severe measure, paired with the president's treatment of several other esteemed White House reporters, is unacceptable given the already hostile environment for reporters in the United States".
Jeff Mason, a Reuters journalist and former president of the association, said on Twitter: "I was seated next to @Acosta at today's press conference and did not witness him "placing his hands" on the young intern, as the White House alleges".More news: Porsche shows off the new 911 undergoing testing
Acosta said the accusations from Sanders were a lie.
In response, CNN said Acosta had the network's full support and claimed that Sanders lied. He threw out a hasty question about the Russian Federation investigation, but President Trump spoke over him. "We stand by our statement".
Acosta, however, disputed the account and called it a "lie".
Acosta confirmed the news on Twitter and published a video of a secret service officer removing his press pass.
But many high-profile media members, including The New York Times' Maggie Haberman and CNN executive Matt Dornic, have accused Sanders of using a doctored video speeding up Acosta's arm motion, as evidence.
On CNN, anchor Jake Tapper said that there was nothing racist about her question and that Mr Trump's reaction was unfathomable.
Regardless, Sanders shared a video that reporting shows was manipulated to make Acosta look like he was aggressive toward the woman.
"Sources with direct knowledge tell Jonathan Swan that since the earliest days of his presidency, Trump has mused about revoking press credentials for reporters who infuriate him", Axios reports.