The attacker was shot at the scene by an officer from the Israel Border Police.
The wounds of three of the victims were described as life-threatening by German police.
Judge Margaret Van Houten ruled Friday that retrying Jackson-Bolanos on the felony murder charge would constitute double jeopardy, violating his Fifth Amendment rights.
Vincent Sumpter has been charged with eight felonies, including assault as a hate crime, for the incident, according to an arrest report.
The perpetrator, reportedly a black male in his early 20s, asked the victim, "Do you want to die?" before stabbing him.
Shaare Zedek Hospital announced that the man, who was evacuated there in serious condition, is now moderate and stable.
Earlier on Wednesday, Israel's emergency medical response service, Magen David Adom (MDA), reported that two people had been wounded as a result of the attack.
The attempted terrorist rushed towards Border Police officers with a knife but was shot before he could harm any of them.
The incident comes after New South Wales police last month charged several boys with terrorism-related offenses in investigations following the stabbing of an Assyrian Christian bishop.
The terrorist who carried out the attack was identified as a 34-year-old Turkish citizen.