I was mistaken. The file I tested with was moved (copied) from my iCloud to my iPad. So I was wrong in suggesting that iCloud was not involved. However, I did some further testing.
I concluded that moving a file from one iCloud folder to another iCloud folder will not remove it from “recents”. I felt that requiring you to store this file locally to solve your problem was inadequate, so I played around with it and I was able to remove a file from recents by moving (copying) it to my device, deleting the original, and then moving the copy back to the original location, which is the “Numbers” folder in iCloud.
So essentially what I have done is delete the original file, and replace it with a copy, in the exact same iCloud directory. As it is a copy, it is, for human purposes, the same file. For machine purposes though, of course, it is not - a copy is viewed as a separate file. Because Numbers does not recognize it to be the same file you opened, it does not appear in recents.
Be aware that moving files around like this will increase the risk of data corruption, which is low, but always present. If a file becomes corrupted, you’ll know it - it won’t open. This happens when it fails to properly save. Always have a backup of any important documents stored someplace safe. It really wouldn’t be a bad idea to store copies of important files locally on your device. You can password protect them if losing your device is a concern. I like to e-mail important documents to myself, or export them to my saved messages in Telegram. Some documents I have worked on for years. I don’t trust a single server to preserve them in perpetuity.