The 34-year-old has a goal and three assists in 30 games this season.
He leads the Senators with three minutes, 14 seconds of short-handed time on ice per game.
A native of St. Albert, Alta., Holden was acquired by the Senators in a trade with the Vegas Golden Knights on July 28, 2021.
The undrafted defenceman was signed by the Columbus Blue Jackets as a free agent from the Western Hockey League's Chilliwack Bruins in 2008.
He has 46 goals and 101 assists in 543 career games with Columbus, Colorado, the New York Rangers, Boston, Vegas and Ottawa.
``Nick has seamlessly integrated himself into our lineup and into our dressing room,'' Senators general manager Pierre Dorion said in a release. ``His veteran presence and leadership qualities have been instrumental in helping our young group this season, while his strong defensive play and accountability on the ice has really helped with the maturity of our young defensive core.''