We explore the environment-induced synchronization phenomenon in two-level systems in contact with a thermal dissipative environment. We first discuss the conditions under which synchronization emerges between a pair of two-level particles. That is, we analyze the impact of various model parameters on the emergence of (anti-)synchronization such as the environment temperature, the direct interaction between the particles, and the distance between them controlling the collectivity of the dissipation. We then enlarge the system to be composed of three two-level atoms to study the mutual synchronization between different particle pairs. Remarkably, we observe in this case a rich synchronization dynamics which stems from different possible spatial configurations of the atoms. Particularly, in sharp contrast with the two-atom case, we show that when the three atoms are in close proximity, appearance of anti-synchronization can be obstructed across all particle pairs due to frustration.