The increase in new technology and consumer demand for healthy and safe food has led to the development of smart packaging to help consumers understand food conditions in real time. The incorporation of red dragon fruit peel anthocyanin into cassava starch and chitosan films was used in this study as a color indicator to monitor food conditions. This indicator film was generated using the solvent-casting method. The mechanical, morphological, and physicochemical characterizations of the film were studied, and food freshness monitoring was carried out. The results showed that adding red dragon fruit peel anthocyanin increased up to 94.44% of the antioxidant activity. It also improved its flexibility, indicated by the lowest tensile strength (3.89 ± 0.15 MPa) and Young’s modulus (0.14 ± 0.01 MPa) and the highest elongation at break (27.62 ± 0.57%). The indicator film was sensitive to pH, which was indicated by its color change from red to yellow as pH increased. The color of the film also changed when it was used to test the freshness of packaged shrimp at both room and chiller temperatures. According to the results, the indicator film based on cassava starch–chitosan incorporated with red dragon fruit peel anthocyanin showed its potential as a smart packaging material.