Dhulipala was born on 31 May 1993 in Tenali, Andhra Pradesh, India in a Telugu Brahmin family. She was raised in Visakhapatnam. She moved to Mumbai to pursue a career in film and further her studies at H.R. College of Commerce and Economics in University of Mumbai. She is also a trained classical dancer in Bharatanatyam and Kuchipudi.

She made her film debut with Anurag Kashyap’s Raman Raghav 2.0 in 2016. and also signed a three-film deal with Kashyap’s production company Phantom Films in July 2016. The film premiered at the Director’s Fortnight at Cannes Film festival 2016, where she was nominated by critics for best supporting performance. In early August 2016, she signed two films, Kaalakaandi directed by Akshat Verma and Chef directed by Raja Menon, both starring opposite Saif Ali Khan.

In 2018, Dhulipala appeared in her first Telugu film Goodachari starring Adivi Sesh. She also starred as one of the leads in the Amazon Prime original series Made In Heaven. In 2019, she appeared in a pivotal role in Bard of Blood, an Indian fictional spy thriller Netflix web television series based on the 2015 espionage novel of the same name as an intelligence agency operative. Dhulipala made her debut in Malayalam cinema with the 2019 Geetu Mohandas directorial-feature Moothon alongside Nivin Pauly. She will also be featured in the Dulquer Salmaan starrer Kurup.