IPWA said the debut was "HUGE news from the Israeli wrestling scene," with Kelly a former tag team champion in WWE's NXT division.
But she was soon on the receiving end of a torrent of online abuse, with fans haranguing her to pull out of the show.
Following several days of backlash, Kelly put out a statement reading: "I have made the decision to not travel to Israel for the show that was announced earlier.
"My intention was never to make a political statement, but to entertain those who were not tied to a horrific humanitarian crisis, I do not want to be a part of this any further or give the idea that I condone the actions of the government in any way.
"I apologise for any harm this may have caused."
She later deleted her X and Instagram accounts.
Since the announcement, some fans have rallied to support her, using the hashtag #IStandWithGiGiDolin.
Several of her supporters have pointed out that her former employer, the WWE, holds shows regularly in Saudi Arabia without being subjected to similar harassment, despite the Kingdom's human rights record.