This review examines how contemporary changes in social environments influence adolescent development. We begin by outlining major societal shifts—such as increased digital connectivity and rising social uncertainty—and their psychological and behavioral impacts during adolescence. We then focus on social sensitivity, a cognitive trait that peaks during this period, and consider its role in both adaptive and maladaptive outcomes, including risk-taking and prosocial behavior. Additionally, we address the growing prevalence of mental health challenges among adolescents, particularly in the context of social isolation and environmental stressors such as the COVID-19 pandemic. Finally, we introduce emerging frameworks for understanding resilience and adaptation under adversity, including deficit-based and strength-based approaches such as the Hidden Talents framework that highlights mental abilities enhanced or adapted through adversity. Drawing on recent empirical findings, we discuss how social relationships, lifestyle factors, and physical fitness may contribute to positive adolescent functioning. Taken together, these insights underscore the importance of viewing adolescent development as a dynamic process shaped by complex interactions between individual traits and rapidly evolving social contexts.