The shrub is found in northern parts of Australia in Western Australia, the Northern Territory and Queensland. The range of the bulk of the population extends from around near Derby in the Kimberley region of Western Australia to the east through the top end of the Northern Territory as far as Rockhampton in eastern Queensland. Smaller populations are found in arid regions of the Pilbara in the Hamersley Range, in central parts of the Northern Territory and in southwestern Queensland. It is found in and around ephemeral watercourses growing in gravelly sand or loamy soils.
Acacia holosericea is listed in the following regions:
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Mount Isa, QLD