As internet usage continues to rise among youth, so do the risks of cyberbullying, privacy breaches, and digital threats. This study explores how cybersecurity education impacts digital literacy and online safety among middle and high school students in New Jersey. Using the NIST framework - Identify, Protect, Detect, Respond, and Recover - we assess regional needs across North, Central, and South Jersey and evaluate existing school-based programs. Over six months, we collected data from 450 participants, including students, teachers, and administrators from both public and private schools, using surveys, interviews, and direct observations. We applied AI-driven sentiment analysis to interview transcripts to uncover key trends in awareness, preparedness, and institutional support. Our findings show that over 76% of students had encountered cyber threats without recognizing them, revealing a major gap in awareness. The study highlights the need to embed cybersecurity education into school curricula through engaging, sustainable methods. A gamified and continuously evolving learning model emerged as a promising solution to improve student engagement and retention. This research provides a foundation for building adaptive, school-wide cybersecurity programs aimed at fostering a safer and more informed digital community.