The burst prompted the closure after a large sinkhole emerged and began filling with water at the crossroad in Rillington, outside the Coach and Horses pub, at around 3.45pm on Sunday July 31.
North Yorkshire Police closed the A64 entirely after the road started "sinking".
Workmen from National Highways and Yorkshire Water have been at the scene overnight to begin emergency repairs to the damaged water main, which caused the road surface to collapse.
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Yorkshire Water said the burst main has now been repaired, but it has caused "significant damage" to the road.
A spokesperson for Yorkshire Water said: "We would like to thank road users for their patience whilst our teams are working hard to minimise disruption and reinstate the road. We expect it to reopen later this week."
National Highways previously said it expects the road to be closed for at least 48 hours for emergency repairs and a "considerable amount of time".
In its latest update, the authority said repairs to the carriageway are ongoing and it now expects the road to reopen from 6am on Wednesday August 3.
However, the A64 remains closed eastbound between the A169 at Malton and the B1429 at Willerby and westbound between the B1429 and B1428 at Scagglethorpe.
National Highways told The Scarborough News that eastbound traffic is being diverted at Old Malton along the A169 to Pickering, before joining the A170 to Scarborough.
Motorists have been warned of delays to journeys and urged to allow for extra time.
Janet Sanderson, North Yorkshire County Councillor for Thornton Dale and Wolds division, which includes Rillington, said she was "shocked to see the extent of the damage" and that the disruption "will be a major inconvenience to residents and communities".