Dropping out is only a good choice if you are going for a more useful alternative for yourself. But here there does not seem to be an alternative project, you are just giving up, so it's a pretty bad idea.

On the other hand, the question does not seem to be whether to stay in school or not, but how to solve the issues that are affecting you. The issue of dropping out is just an escapist confounder, not the real one you need to address.

You should definitely reach for some therapeutic help. Do you realize that you have a mental condition that is ruining your education and school life, and not doing anything about it? If you broke your leg, so that you could not walk and attend school, you would get medical help. If your mind is so broken that you can't function in school anymore, why don't you do the same? Wake up and start coming to grips to the notion that you are not in a normal state, and should not just let yourself go with the flow, specially when you're headed to the gutter.