Helicase domain of nonstructural protein 3 (NS3H) unwinds double-stranded RNA replication intermediate during flavivirus life cycle in ATP-dependent manner. While the helicases mechanism of Dengue and Zika viruses has been extensively studied, little is known about helicase activity of the tick-borne encephalitis virus NS3. In the current study, we demonstrated that ATP hydrolysis cycle of NS3H is strongly stimulated by ssRNA but not ssDNA, suggesting that NS3H is an RNA-specific helicase. However, ssDNA binding inhibits ATPase activity in a non-competitive manner. We also captured several structural snapshots of key ATP hydrolysis stages. An intermediate, in which the inorganic phosphate (Pi) and ADP resulted from ATP hydrolysis and remain trapped inside the ATPase site, suggests that Pi release is the rate-limiting step and is accelerated by RNA binding and/or translocation. Based on these structures, we modeled NS3H-ssRNA and -ssDNA binding and performed MD simulations. Our model suggests that NS3H-ssRNA binding triggers conformational changes, revealing the coupling between helicase and ATPase activities. The structural models revealed that ssDNA inhibition may occur via non-specific ssDNA binding to several positively charged surface patches which in turn causes repositioning of ATP molecule within the ATPase site.