They also commended Treasure for demonstrating their technical expertise with impressive graphical effects and building on the success of their earlier game Gunstar Heroes (1993).

To succeed, Headdy must overcome the King's army, which features the likes of Trouble Bruin[c] and the key masters which serve as stage bosses.

[9] After deciding to publish a localized version for overseas markets, Maegawa was told by Sega of America to make the game more difficult.

[13][21][24][25] Rik Skews of Computer and Video Games said it "breathes new life" into the platform genre and stood up to the likes of the Sonic series.

[13] The staff at Mean Machines Sega found the game innovative and liked how each stage introduced new concepts to keep gameplay fresh.

[23] In addition to the game's originality, critics praised Treasure's programming expertise and Dynamite Headdy's technical prowess.

[21] Tucker said "Dynamite Headdy is full of classic Treasure overstatement" and cited the impressive colors, big explosions, large sprites, and rapidly changing backgrounds—which all together were perhaps a little too overwhelming.

[23] The Mean Machines staff believed that Dynamite Headdy followed in the footsteps of Treasure's previous games and therefore confirmed the studio's technical expertise.

Critics agreed that the game is excellent despite not receiving the same legendary status as some of Treasure's other works such as Gunstar Heroes, Ikaruga and Radiant Silvergun.

[3][30][31] Lucas M. Thomas of IGN said the game is overload on the eyes, but it makes sense with respect to Treasure's chaotic design.

[3] Frank Provo of GameSpot noted the game's impressive graphical effects, large bosses, and bizarre premise providing the same level of excitement as Gunstar Heroes.

[30] Damien McFarren of Nintendo Life called it one of the best Treasure games of the Genesis era and one of the best platformers on the system.