White curly stuff = guts. They spill guts out of mouth when they're stressed.... But that is coming out of the side, so something stung it, or damage was done to it somehow.
Maybe you should stay up tonight and watch the tank at night?
That's kind of what I thought too. I stayed up and nothing bothered it, but it shrunk up more when a cleaner shrimp ran over the top of it. It ended up closing up like it does when it eats but it didn't look the same. This morning it seems fine. I did add 20# of live rock recently so I'm worried about hitchhikers.
Also, the closest corals to it are ricordeas and they are about six to eight inches away and there are other mushrooms closer to the ricordeas that are not spewing guts.
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