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I don't doubt Palkia having access to multiple universes. But that doesn't change the presence of multiple Creation Trio members in the multiverse, likely one in each timeline. Which makes the idea of there being only one big 6-D Distortion World dubious.We do know at least a single instance of the Creation Trio have an influence over a multiverse of infinite/infinitely expanding size, of which Giratina was able to manipulate in Legends Arceus. So at the very least "Space" and the Distortion World are infinite/infinitely expanding multiverse in size.
This is without bringing up the anime episodes which plot was Palkia and Dialga was causing multiple universes to de-age and Ash and the gang from two parallel universe had to work together to stop them.
For the OP's proposal to make sense, you have to assume:
-That there is only one Distortion World for every single timeline, even though we know the Distortion World gets heavily affected by small space-time anomalies in the normal world and that have entire timelines constantly pop out would cause a lot more issues than we see happening. Plus the contradictions I already mentioned before.
-That this Distortion World is superior in size to the infinite timelines of the normal world. Remember that "Hypertimelines" and the likes are only considered higher tier if they're quite literally bigger than the timelines they contain. Even if you want to assume that the Distortion World opposes the normal world, saying that it is 'big' enough to be superior to all those timelines is unsupported. It is in fact contradicted by the fact that the Distortion World being the mirror and opposite of the normal world is the primary narrative told by primary sources. It'd be weird if the mirror image of the normal world (the Distortion World) was massively bigger than it.