Exactly! I've been looking through some of Bryan's old posts about this subject, and it is correct that follicular DHT is what matters most in male pattern baldness. Specifically, it is the DHT within the dermal papillae of the hair follicles that is primarily responsible. The 5AR within the dermal papillae has been shown to consist almost entirely of 5AR type 2 (of which finasteride is a selective inhibitor). Finasteride was found to very potently inhibit this 5AR within the dermal papillae, which explains why finasteride works so well for hair loss.
I've pasted below an excellent post about this subject by Bryan in an old thread:
"
For a long time there's been conflicting information about which type of 5a-reductase occurs in human hair follicle cells. Some earlier studies claimed to find large amounts of the type 1 enzyme, with little or no type 2 at all. Then along came a study by Happle and Hoffmann (1) which seemed to find type 2 almost EXCLUSIVELY within dermal papilla cells. So how does that jive with those ealier studies? One possible clue is that Happle & Hoffman used freshly dissected hair follicles. They went to work on them as soon as they were extracted from their human test subjects! Under those specific conditions, they found that finasteride was BY FAR the main inhibitor of 5a-reductase activity within those hair follicle cells.
The final key to the puzzle, in my opinion, was published in a Japanese study a couple of years after that (2). They found that 5a-reductase type 2 activity in hair follicles evidently is lost fairly quickly when cultured in vitro, but is normally present in vivo. So the bottom-line to all this is that if you do an in vitro study of human hair follicles and add testosterone to them to see how it affects their growth rate, the observed suppression MAY be due more to the direct effect of the testosterone, because less and less of it is being converted into DHT as time goes by.
(1) "Finasteride is the main inhibitor of 5a-reductase activity in microdissected dermal papillae of human hair follicles", Hoffmann and Happle, Arch Dermatol Res (1999) 291: 100-103.
(2) "5-Reductase type 2 is constitutively expressed in the dermal papilla and connective tissue sheath of the hair follicle in vivo but not during culture in vitro", Asada et al, J Clin Endocrinol Metab 86: 2875-2880, 2001.
Bryan"
For your interest, here is the thread:
https://www.hairlosstalk.com/interact/threads/dht-and-testosterone-kills-hair-directly-study.22820/