Kessil

Orange fungus/mucus/spot/sponge/something on Elegance

Noticed my Elegance coral had shrunken quite a bit lately. Took it out to do a dip and discovered an largish (about 1/2 in long, 1/4 in wide) orange patch on the side just below top edge of the skeleton. Hadn't seen it before because the coral expanded covered it. Poked at it and found that I could scrape it off, fairly easy.
I don't think it's coralline algae (because it's normally covered up). Is it fungus? Bacterial growth? Sponge?
Googling I don't see anything commonly reported on the coral forums. There are reports of an orange fungus infecting some coralline alge. Some reports of orange sponges. Unfortunately I scraped it off before I could take a pic.
 
If it looks like this, then scrape it off with toothbrush outside the tank

 
I think it's a sponge too after reading/looking at more posts. Scraped it off in the dip. The Elegance seems to be happier now, more extended than before. Can't rule out some sort of bacterial/fungal infection but the sponge is the prime suspect.
 
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