For sure. And packed pixel always comes in handy for situations like this.
Since the beginning of the development Fonzie said stuff taunting the Neo Geo. I think that's the technical level he's aiming at - there's some claims about how often they would be updating the animation frames on screen as well.
I believe he pushed to do something that by the moment you start playing and see things moving around you'll realize it's on a whole new level (not only in terms of how much stuff appears on the screen at once, but also in terms of how often it updates and moves things).
What I'm expecting here is something in the lines of MD's Mickey Mania vs SNES Mickey Mania: while both games update the screen at 60 fps, all characters animate in a noticeably higher frame rate on the MD.
When they released that
tea time video you could already notice something on how quickly the enemies and objects would bounce up and down (getting blurry in that 30 fps video); the video didn't seem to be fast forwarded.
There's also a little graphical glitch at around 0:14 of that video in the right part of the screen which seems to suggest he was updating the background tiles as the screen scrolls. This is also something that got a few references during the development (how he was trying to expand the background by making a more dynamic use of the VRAM); it's a technique that very few MD games really explored (Sonic 3D Blast is insane in such regard) and none of the beat'em ups IIRC.