Both Uses of

recede
in
The Fellowship of the Ring

The Riders seemed to sit upon their great steeds like threatening statues upon a hill, dark and solid, while all the woods and land about them receded as if into a mist.†
Chpt 1.12 *

receded = move away or diminished (became less)

To the south the Misty Mountains receded endlessly as far as sight could reach.†
Chpt 2.6

Definition:

to move away or diminish (become less)

The exact meaning of recede depends upon its context. For example:

"We can't move back in until the floodwaters recede." -- diminish and move away
"Her fear receded." -- diminished
"The waves first advance and then recede." -- move away
"The news story receded into the background as it was replaced by new stories." -- received diminished attention
"a receding hairline" -- diminished hair (each year the line where hair stops growing is higher on the forehead)
"She has a receding chin." -- sloping back (as contrasted to sticking out)