The ruling means accords calling for the establishment of diplomatic relations and the opening of the Turkish-Armenian border can move to parliament, although there is little sign they will be adopted soon.
The accords, which need parliamentary approval in both countries, have been gathering dust since they were signed by the two governments in October 2009, with Turkey facing a backlash from close ally Azerbaijan, a key energy supplier to the West.
The accords seek to overcome a century of animosity stemming from the World War One mass killing of both Armenians and Ottoman Turks.
Reading the ruling, court president Gagik Harutiunyan said the protocols "conform with the constitution of Armenia".
"The decision is final and cannot be challenged," he said, to shouts of "Shame!" from opposition supporters in the court. Several hundred more protested outside.
Rapprochement would bring economic benefits to poor, landlocked Armenia, while Turkey would burnish its credentials as a potential European Union member and boost its influence in the strategic South Caucasus.
Adoption continues to be held up by a Turkish demand that Armenia make concessions in the festering conflict over Nagorno-Karabakh, a mainly Armenian region that broke away from Azerbaijan with Armenian backing in the early 1990s.
Turkey closed its border with Armenia in 1993 in solidarity with Azerbaijan during the fighting.
Azerbaijan, courted by Europe and Russia for its oil and gas reserves in the Caspian Sea, has reacted angrily to the thaw, fearing it will lose leverage in the Nagorno-Karabakh negotiations if Turkey opens the border.
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