While a single question can't have 'too many tags', per se (aside from the hard limit of five tags), in this case, most of the removed tags were removed because they were unnecessary.
In general, we don't do 'hierarchical' or 'categorical' tagging of the sort that was applied to this question (neogeo, fighting-games), using those broader tags only to indicate questions in which the scope extends beyond an individual title, or questions for which the relevance is specific to a particular platforms release of a title. (i.e. fighting-games might be used to ask questions about overall Fighting Game strategy, terminology, or meta-game concerns. neogeo might apply to questions which apply only to the Neogeo release of a game, and not to other platforms on which it was released.)
From what I can see, most of these tags don't apply to the question at hand, which is perfectly adequately served by the game title. Others are unneeded and should be removed.