The lichen commonly produces small, disc-shaped reproductive structures (apothecia) that are orange when fully developed and typically measure around 1 millimetre across.

In Poland, it has been documented in the Ostnicowe Parowy Gruczna [pl] nature reserve along the lower Vistula River, where it forms part of a relict community of terricolous (ground-dwelling) lichens.

This community, resembling the Toninio-Psoretum decipientis fulgensietum bracteatae association, survives on eroded sandy slopes isolated from agricultural runoff.

The species' survival in this area, along with other rare xerothermic lichens, is attributed to specific habitat conditions that have persisted since early postglacial periods, as well as human activities that maintained open landscapes.

[6] Gyalolechia bracteata can be found across a wide range of elevations throughout the United States, growing in both arctic tundra environments and cool desert landscapes.