Of course!
Corals shed mucus and expell waste and such so you need to have enough live rock and a really good skimmer to keep it all balanced.
My LPS corals for example are fed small chunks of mysis which they will expell the waste or uneaten food a day or two later. Another example is my SPS corals are fed phytoplankton which only a small amount is taken in by these corals so a good skimmer and monthly water changes are required to keep my water parameters optimal.
Also too many corals in a confined space may cause some chemical warfare, so adequate space is needed for them to flourish and grow,
if not-some weaker corals will eventually loose the battle and die.
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