p‐Nitrophenol (p−NP) is a high priority toxic pollutant and that has harmful effects on human, animals and plants. Thus, the detection and determination of p−NP present in the environment is an urgent as well as highly important requisite. The present article, therefore focused on the construction of a novel electrochemical sensor based on NiO nanoparticles/α‐cyclodextrin functionalized reduced graphene oxide modified glassy carbon electrode (NiO−NPs‐α‐CD‐rGO‐GCE) for the selective and sensitive detection of p−NP. UV‐vis, high resolution transmission electron microscopy (HR‐TEM), selected area electron diffraction pattern (SAED) and X‐ray diffraction (XRD) analysis confirms the formation of highly pure NiO nanoparticles. Field emission scanning electron microscopy (FE‐SEM), energy dispersive X‐ray spectroscopy (EDS), and cyclic voltammetry (CV) were used to characterize the step‐wise electrode modification process. DPV was carried out to quantify p−NP within the concentration range of 1−10 μM and found the detection limit of 0.12 nM on the basis of the signal‐to‐noise ratio S/N=3. The electrode can able to detect different isomers of nitrophenols. Interferences of other pollutants such as phenol, p‐aminophenol, o‐ and m‐ nitrophenol, 4‐chlorophenol, 2,6‐dichlorophenol and ions like K+, Cd2+, Cl−, SO42− did not affect the sensing of p−NP. The newly developed sensor exhibited diffusion controlled kinetics and had excellent sensitivity, selectivity and reproducibility for the detection of p−NP. The electrode showed good recoveries in real sample analysis.