The psychological well-being of parents of children diagnosed with cancer is a crucial yet often overlooked aspect of pediatric oncology. These parents frequently experience high levels of stress, anxiety, and depression, which can undermine their emotional resilience and ability to support their child’s treatment. Despite the substantial mental health burden they face, structured psychological interventions remain inconsistently implemented across healthcare systems. This study explores the psychological challenges encountered by parents of children undergoing cancer treatment, examines existing gaps in mental health support, and evaluates the effectiveness of structured interventions in reducing emotional distress. A comprehensive systematic review of existing literature, combined with qualitative analysis of clinical observations, was conducted. Additionally, the study integrates advancements in computer science, particularly artificial intelligence (AI)-driven mental health tools, telehealth platforms, and data-driven predictive models, to assess their role in enhancing psychological interventions. The analysis includes a comparative evaluation of psychological support programs across different healthcare models, with a particular focus on the Bright IDEAS program and its impact on alleviating parental distress. The findings indicate that parents frequently endure significant psychological strain, yet formal psychological support services remain fragmented and insufficient in many clinical settings. Evidence suggests that Cognitive Behavioral Therapy (CBT), mindfulness-based interventions, and structured peer support programs are among the most effective strategies for reducing parental anxiety and improving emotional well-being. Moreover, AI-powered chatbots, mobile health (mHealth) applications, and digital cognitive therapy tools show promise in providing scalable and personalized mental health support. However, challenges persist in ensuring standardized implementation and equitable access to these interventions. The study highlights the urgent need for integrated psychological support frameworks within pediatric oncology, incorporating digital mental health solutions to enhance accessibility, personalization, and efficiency. Healthcare policymakers and providers should prioritize the adoption of evidence-based psychological interventions, leveraging computational advancements to ensure their effectiveness in diverse clinical environments. Future research should emphasize longitudinal studies and empirical data collection to further validate the impact of these interventions and refine best practices for their implementation.