Wolfe, 27, was injured when he became tangled up with offensive tackle Menelik Watson in a team drill. After a season marred by a painful elbow injury, Wolfe added bulk in the offseason, beefing up 20 pounds, he said.
Wolfe also posted a picture of his swollen ankle after he had gone for magnetic resonance imaging (MRI) exam.
The vaunted Denver defense can not afford to absorb any more serious injury blows.
The Broncos have wrestled with some high-profile injuries so far in camp;running back Devontae Booker (left wrist) and linebacker Shane Ray (left wrist) will miss the entire preseason.
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Denver Broncos defensive tackle Adam Gotsis. Winn's injury created a path for Shebly Harris to make the team.
In 11 practices open to the public, a record average of 4,910 fans came to watch the Broncos. He combined for 51 tackles last season with 5.5 sacks.
He is in the second year of a four-year contract that will pay him $6.05 million this year.
"It's an ankle injury, we're not sure how bad", Broncos coach Vance Joseph said immediately following practice.
With Kyle Peko still recovering from a broken foot and Billy Winn done for the year with a torn ACL, the Broncos' defense line is already thin. Losing Wolfe, their best defensive lineman, would have struck a major blow to a defense looking to improve significantly against the run.