How does cell signaling occur when the receptor is located inside the cell?

For a receptor located inside the cell, the signaling molecule, or ligand, must possess specific characteristics—most importantly, it should be hydrophobic, as seen in steroid hormones, to enable its passage through the cell membrane. Upon entry into the cell, the ligand binds to a receptor protein situated either in the cytoplasm or nucleus, resulting in the receptor’s activation. The activated receptor-ligand complex subsequently interacts with specific regions of DNA, regulating the transcription of particular genes, which ultimately leads to the synthesis of specific proteins.