A holographic projection system and method are implemented by a projection device provided on the vehicle; a water mist generating device for generating water mist provided on the vehicle; and a controller in communication with the projection device and the water mist generating device. The controller is configured to detect a signal of user proximity to the vehicle, and activate the water mist generating device and the projection device respectively based on the detected signal, so that the projection device projects an image onto the water mist.