Following.
I have a BTA in my a DT (about 6 weeks). It initially found a home in a crevice in the rock about midway in the tank. It looked great for a couple of days, then started acting as the OP's. It has since moved to the back of the rock, a little higher in the tank and does not expand at all. When I try to feed it, the general response is to recede. I have just upgraded my light to a Reef Breeders Photon48- V2. The fixture has been on the tank for about 3 weeks now and I have been running it at the manufacturer's suggestion of 30% intensity for acclimation. I will begin to increase intensity next week when I get back from a short vacation. My current water parameters are:
SG = 1.026
Temp = 78
Ammonia = 0.0
Nitrite = 0.0
Nitrate = 5 ppm
pH = 8.2
I feed LRS Fish Frenzy and hold out some of the meatier chunks to feed the BTA. The other inhabitants of the take are a pair of Spotcinctus clowns, a starry blenny, an orchid dottyback, a bangai cardinal and 2 types of zoanthids (one frag with 1 polyp and one with 8-10 polyps). The Zoas and BTA are on opposite sides of the tank, so I don't think there is an issue there. My clowns have not paid a bit of attention to the BTA as of yet either.