AbstractGlass fabric‐reinforced composites (GFRC) and other revolutionary engineered materials find extensive application in the aerospace, construction, and automobile sectors. It is challenging to predict damage under real‐time stresses due to the anisotropic behavior of composite materials. This study presents the development of a glass textile‐based multifunctional composite sensor and demonstrates its application as a change in resistance or gauge factor in structural health monitoring (SHM) systems. This sensor is coated with reduced graphene oxide (rGO) nanomaterial. Its electrical resistance is evaluated by examining the concentration of nanoparticles and varying geometrical parameters. A three‐point bending method assessed the piezoresistive behavior of the integrated sensor in the GFRC. The impact of sensor width and relative placements in the material's thickness direction within the composite samples is evaluated. Cyclic flexural testing was also performed to demonstrate real‐world applications. The research concludes that it can be utilized as a damage assessment technique for GFRC. The developed sensor can be used to provide an electrically conductive path or as a resistor in the field of E‐textiles. The developed piezoresistive sensor has the flexibility to be used as a multifunctional sensor for multiple purposes, such as force, torque, weight, pressure, flow, acceleration sensors, etc.Highlights Glass textile‐based multifunctional materials are reported as strain‐monitoring sensors. Tailored sensor resistance could be achieved through rGO current conduction paths. Glass textile‐based sensors could potentially be used in the field of E‐textile.