DV-Hop algorithm is a typical range-free localization algorithm in Wireless Sensor Network (WSN). For the problem that there is great difference in location errors and positioning time because of the different factors settings for DV-Hop algorithm，the algorithm parameters including the number of nodes, average network connectivity and monitoring areas which impact on the location error and positioning time are analyzed and simulated. In view of energy and the cost restriction, and through analyzing the simulation results the conclusion that the average network connectivity and the numbers of nodes have great influence on location precision and positioning time of DV-Hop algorithm respectively. Theoretical analyses and simulation results show that the optimized parameters effectively reduce the node location error at the different monitoring areas based on the low energy consumption of DV-Hop algorithm.