<p>Previous research has proposed two competing explanations—the healthy context paradox and the peer contagion hypothesis—for associations between bullying victimization and adolescents’ internalizing and externalizing problems at both individual and classroom levels, yet findings remain fragmented and sometimes inconsistent. Moreover, little is known about whether individual characteristics, such as moral disengagement, shape these associations. Using a six-month longitudinal design, the present study applied polynomial regression and multilevel moderated response surface analysis to examine how (in)congruence between individual- and classroom-level bullying victimization relates to internalizing and externalizing problems among 1,132 children and adolescents (43.46% girls; <i>M</i>_age = 12.06, <i>SD</i> = 1.67) from Guangdong, China. Results revealed divergent patterns across problem domains. Internalizing problems were consistent with the healthy context paradox: youth reported more internalizing symptoms when individual victimization exceeded classroom victimization, and this association was not moderated by moral disengagement. In contrast, externalizing problems aligned with the peer contagion hypothesis. Higher classroom-level victimization predicted greater externalizing behaviors beyond individual victimization, and this association was amplified among youth with higher levels of moral disengagement. Together, these findings highlight distinct mechanisms linking bullying victimization to internalizing versus externalizing problems and underscore the role of moral disengagement in exacerbating contagion effects within bullying contexts.</p>