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Satvik Pandey, a Class 11 student, committed suicide on Saturday night, police said on Sunday.
A CCTV camera installed at a house near the railway tracks recorded the episode.
According to the teenager's friends, he was "quite absorbed in the Blue Whale game for the past few days".
Damoh Superintendent of Police Vivek Agarwal told IANS on Sunday that Satvik's family members, however, said the Blue Whale game did not drive him to commit suicide.
His family members said "Satvik was weak in mathematics and he took the extreme step out of frustration". An investigation is underway, said the police officer.
The Blue Whale Challenge game is targeted at teenagers and forces them to perform several dangerous activities, finally leading them to commit suicide. The game has claimed many lives in India and across the world.