ESR (Equivalent Series Resistance) plays a big role in how effective a decoupling capacitor is. Low ESR capacitors, like ceramics, are great at handling high-frequency noise and fast transients, which is why they’re used near IC power pins.
However, ultra-low ESR isn’t always ideal—some regulators actually require a certain ESR range for stability, and higher ESR capacitors (like electrolytics) can help by damping resonances and providing bulk decoupling at lower frequencies.
The best practice is to use a mix: low ESR ceramics for high-frequency suppression, and higher ESR electrolytics or tantalums for bulk energy storage and damping, while always checking the regulator’s ESR requirements in its datasheet.