Global warming in this century increases incidences of various abiotic stresses, restricting plant growth and productivity and posing a severe threat to global food production and security. Different phytohormones are produced by plants to mitigate the adverse effects of these stresses. One such phytohormone is melatonin (MEL), which, being a potential bio-stimulator, helps to govern a wide array of functions in horticultural crops. Recent advancements have determined the role of MEL in plants’ responses to abiotic stresses. MEL enhances physiological functions such as seed germination, growth and development, seedling growth, root system architecture, and photosynthetic efficiency. The potential function of MEL in stressful environments is to regulate the enzymatic and non-enzymatic antioxidant activity, thus playing a role in the substantial scavenging of reactive oxygen species (ROS). Additionally, MEL, as a plant growth regulator and bio-stimulator, aids in promoting plant tolerance to abiotic stress, mainly through improvements in nutrient uptake, osmolyte production, and cellular membrane stability. This review, therefore, focuses on the possible functions of MEL in the induction of different abiotic stresses in horticultural crops. Therefore, this review would help readers learn more about MEL in altered environments and provide new suggestions on how this knowledge could be used to develop stress tolerance.