LONDON - WikiLeaks founder Julian Assange was granted conditional bail by a British judge Tuesday, one week after he was arrested in London to answer allegations of rape and molestation in Sweden.

The 39-year-old Australian, who denies the charges, gave a thumbs-up to the packed courtroom as the decision was read out, although his release was postponed for several hours to allow prosecutors to decide whether to appeal.

District judge Howard Riddle granted bail worth 240,000 pounds (378,000 dollars, 283,000 euros) but ordered that Assange wear an electronic tag, abide by a curfew and live at the country estate of a supporter.

"I am satisfied that the conditions I am going to impose will make it certain as far as the risk of flight is concerned," Riddle said.

The announcement -- which followed Riddle's decision last week to refuse bail -- prompted cheers from supporters who had staged a protest in support of Assange outside court.

Lawyers representing Sweden were given two hours to decide whether to appeal the bail order.

Assange was arrested on December 7 after giving himself up to police acting on an extradition warrant from Sweden, where he is wanted for questioning over allegations of sex crimes against two women.

His legal team -- which includes high-profile human rights lawyer Geoffrey Robertson -- has condemned the claims as politically motivated, noting their timing with WikiLeaks' release of thousands of secret US documents.