It could have been even better had skipper Grant Holt not blazed the best chance of the match over with five minutes remaining.
Eagles boss Dougie Freedman admitted he feared the worse as the ball dropped to the big striker inside the penalty area.
"We gave them very few opportunities so when it did fall to him...it would have been difficult to take," he said.
"I don't think it would have been the right result but against top players like Grant you have to be on it for 95 minutes.
"We had a few chances against a top team so we were unlucky not to get three points.
"But it's fantastic to get a point. They are a top-six team and will be up there at the end of the season.
"But we are fighting for our lives and the lads showed that."
Palace remain in the relegation zone, but incredibly they have not let a goal in at Selhurst Park in nearly 10 hours.
Canaries manager Paul Lambert did not pin any blame on his top scorer.
"It was a chance, sometimes they go in, sometimes that's what happens," he shrugged.
"A draw was a fair result. We knew it would be tough, Palace are fighting for their lives and I'm delighted we've gone up to second.
"It's a phenomenal achievement from the lads. I told them if you can't win the game then don't lose it and that was certainly the case.
"We're in second, it's extraordinary what we have done. The lads are a credit to the club.
"It looks good when your name is in second, doesn't it? The team came up from League One last year so it's been a huge rise for us."