After being suspended for the uproar he caused at the entrance ceremony, Boruto makes his way to the academy for the first time. His classmates ostracize him for being the son of the Seventh Hokage and for being suspended. Iwabe Yuino, one of Boruto's classmates, picks a fight with him. Iwabe is an older student who has a keen sense for battle, but was held back a year for his bad behavior. At first, Boruto ignores him no matter what he says. But when he sees Iwabe punch Denki for telling him to stop, Boruto can't ignore him any longer.

A new student named Mitsuki from the Hidden Sound joins Boruto's class. A student named Mitsuki has transferred into Boruto's class from Hidden Sound Village. He overwhelms Iwabe in sparring and shows his genius by solving difficult problems. However, Boruto and the others are unable to tell what he is thinking. Meanwhile, someone who has been doing repair work on the school, suddenly goes berserk. Boruto and the others rush over. Another side of Mitsuki emerges as he starts muttering strange words.

Under his father and grandfather’s guidance, Boruto spars with his aunt Hanabi. Boruto has sought this match in order to win acceptance from his father, but no matter how hard he tries, he can’t activate his Byakugan in any form. He begins to doubt that he even saw the shadowy warped chakra at all, and feels even worse when people begin to think he lied. But then Boruto sees another person being manipulated by the mysterious shadow.

The Ghost incidents suddenly come to an end and Boruto and his classmates are puzzled, but Mitsuki seems to know something they don't. Mitsuki himself realizes he's been undergoing some puzzling changes and questions his classmates in order to figure out his predicament. Soon after, a mysterious chakra begins to spread throughout the village.

Exam day is fast approaching, and everyone at the Academy begins preparing for them. Repeating a grade is a possibility if you fail a test. Denki, who lacks skills in ninjutsu, is having a hard time using chakra to climb walls. And as usual, Iwabe can't wrap his head around what he's studying. Boruto and the others try to help them train and study, but end up making things more confusing for the two. Will Denki and Iwabe avoid being held back?

Boruto pulls a prank and is pursued around the village by Naruto. Seeing this, Sarada can't help but be exasperated, but a part of her grows wistful as she thinks of her father, Sasuke, whom she hasn't seen since she was a baby. She begins to feel doubt after she sees a photo of Sasuke with a young woman wearing glasses. Sarada becomes determined to learn the truth. Will the secret of Sarada Uchiha's birth be revealed?!

Prior to the graduation exams, it's decided that the students will take part in a three-person interview to discuss their future plans. Boruto, who has passed his ninjutsu courses with flying colors, realizes his path toward becoming a "ninja" has been trouble-free and easy. As the students prepare for their finals, Boruto meets a journalist named Sukea who is doing a story on them. Something about Boruto's indifferent attitude about his future as a ninja raises a red flag in Sukea, and he gives Boruto a warning.