Dynamic mics lack the sensitivity of condenser microphones, yet they still have a role to play. Their inherent toughness makes them the natural choice for live performance and their ability to reject noise means they’re often the best choice for recording in busy and/or untreated rooms. Most can easily cope with a guitar’s frequency range, but they do struggle with detail and transients.
In some circumstances, this lack of high end can be an advantage. Because dynamic mics also shrug off high sound pressure levels (SPL) they’re great for recording exuberant strummers or players who include a lot of loud high frequency percussive playing, or who just suffer from handling squeaks and squeals. A good dynamic mic can handle the levels while rejecting much of the unwanted noise.