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In a fast-changing world, social media has become an important platform to exchange knowledge globally. Apart from this global phenomenon of exchanging knowledge, people may have various reasons to join certain groups. It has been observed that individuals, specifically belonging to the young generation, look for mutual positive support and the mere pleasure of affiliation in virtual reality; inorder to avoid loneliness (Peplau& Perlman, 1982, as cited in Hoggs& Vaughan, 2018). The groups chosen by these people not only affect their behaviours but also their identities. According to social identity theory, individuals tend to derive their sense of self from the group memberships so that the driven identity becomes a part of their self-concept, therefore creating a dependence on the shared connection with the respective social group (Tajfel& Turner, 1979, cited by Kaakinen et al., 2018) [20]. Studies have shown the role played by social media platforms like Facebook, in the search for social identification by individuals for the gratification of affiliation needs [6] It has been found that young people might identify strongly with their online communities, in some cases even stronger than with their offline friends [27]. Several studies show that loneliness can play a role in an individual’s need to find identification and belongingness through social media. In the present paper, the researchers have aimed to measure the extent to which individuals of the youth are able to socially identify through social media platforms and find its correlation with the loneliness that the respective individuals may experience by using the questionnaires: Identity Bubble Reinforcement Scale [20] and the UCLA Loneliness Scale [51]. The study was conducted on participants of ages 19-24 (n=62) who were based in Delhi NCR and had an affinity to social media. It was found that with the increase in the online social media identification, the participant’s loneliness seemed to decrease. Moreover, the findings of the study also suggested that among the three subdimensions of online social identification, homophily is seen to be the most dominant factor which plays the major role in reducing the loneliness of the participants. The results may be utilized to help people cope with loneliness and subsequent mental health issues with a balanced use of social media and online communities. Group therapy may also be employed through online mediums as well as a platform for people to showcase their talent, get appreciation, build a community and earn money can be created with safety measures regulated by social media developers. [ABSTRACT FROM AUTHOR]