This melodic style version is based on the fiddle playing of Kenny Baker. It's a bit simplified to use scale runs and patterns and be accessible for intermediate players. This way it lays out well on the banjo. The licks show some alternate melodic lines and some incorporate some Scruggs style playing. Mixing in a bit of Scruggs with the melodic style will help add some drive and forward motion to your playing.
Notice that the same descending scale run is used of over the G chord and in the D chord. The D note is in both chords and the scale run moves us toward the target note at the start of the next chord change.