Palace fell to their sixth defeat of the campaign in the 3-1 loss to Liverpool on Saturday.
"I think we'll improve. The character of our players will improve," Holloway told reporters. "Already this week I've had a complete hammer blow by losing Kagisho Dikgacoi, Danny Gabbidon and Jonny Parr.
"I've had an 18-year-old kid on the bench, Ryan Inniss who's a centre-half. I need a settled group, particularly with all the changes.
"But I think you saw the character particularly with (Mile) Jedinak and (Damien) Delaney to settle us down and be strong enough to win us the second half."
Palace are second from bottom in the Premier League table.