Drought limits plant growth, development and productivity, leading to more than 50% crop loss globally. Drought-induced oxidative stress disturbs the plant’s metabolism; however, plants activate signaling pathways to respond and adapt to drought stress. Although drought response mechanisms are well reported in several crops, these mechanisms are poorly understood in Amaranthus. As a highly nutritious crop, rich in antioxidants with the ability to survive in extreme agro-climatic environments, Amaranthus has the potential to serve as a climate-smart future crop. This review provides evidence of some drought response traits in grain and vegetable Amaranthus species. Grain amaranths are the most tolerant species, mainly through improved osmoregulation, antioxidant capacity, and gene expression. While biomass partitioning, efficient water use, and membrane stability have been reported in both grain and vegetable amaranth, the molecular response of vegetable amaranth remains limited. Thus, future research must focus on integrated biochemical, molecular, and multi-omics applications to screen and identify resilient Amaranthus genotypes under drought for sustainable agriculture.