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This paper presents an automatic modulation and coding scheme (MCS) level adaptation algorithm to embrace Internet of Things (IoT) devices by improving the area spectral efficiency of carrier-sense multiple access with collision avoidance (CSMA/CA) wireless networks. In the proposed algorithm, senders of CSMA/CA wireless networks use the signal to interference plus noise ratio of acknowledgment frames from their receivers to estimate channel statuses between the senders and the receivers. Using the estimated channel status of each receiver, senders control sending rates of traffic by adjusting MCS levels of packets destined for each receiver. We use Poisson point processes (PPPs) to model the locations of participating nodes (i.e., access points and wireless devices) in a given area. We evaluate the effectiveness of the proposed algorithm using an event-driven ns-2 simulator for various PPP densities of access points and wireless devices.