Spores 6.5-9 X 5.5-7 (7.3 X 6.4) µm., Q=1.1, almost spherical, variable in size but falling very nearly into two groups, approximately 7 X 6.2 and 8.5 X 7 µm. (which probably reflect the presence of the 2- and 4-spored basidia), smooth, very strongly amyloid. Basidia very short and fat, 15 X 10 µm., 2- and 4- spored. Cheilocystidia abundant, forming a wide band, fusiform-ventricose to hastate, 35-70 X 6-12 µm., with brownish (in KOH) plasmatic pigment; among them occasional, irregularly swollen elements with faintly granular contents which appear to be endings of the latex system. Pleurocystidia 45 X 9 µm., like the cheilocystidia but shorter and broader and with paler (in KOH) contents. Trama of thin-walled hyphae, narrow and inflated, colourless except near the edge of the lamellae, where they may have yellow (in KOH) sap. Pileipellis of narrow (3-5 µm.) elements with many simple or slightly diverticulate protuberances. Context of inflated cells, with convoluted, shining yellow (in KOH) lactifers, 7 µm. diam. Cortical cells of the stipe with simple or once-diverticulate outgrowths, 20-30 X 10 µm., singly or in clumps; terminal cells 20-30 X 5)  µm., with short (3-8 µm.) diverticulate protuberances. Clamp connections present.

Description of basidiome based on information from further collections

Pileus very variable in size from 2-3 mm up to 20mm in diam., broadly conic with a narrow to moderately broad umbo, or convex, mostly pinkish-fawn (7B5-6) or paler, darker reddish-brown (8C7) in centre, with very fine, reddish fibrils under a lens, dry, dull, striate-plicate to more than 1/2 of radius, margin crenulate, often with a deeper pink spot in the centre of each crenulation; drying vinaceous grey brown (7E6). Lamellae ascending, adnate with a decurrent tooth to sinuate, flesh pink, drying yellowish-brown (6B6), fairly broad and somewhat distant, in 2 series, margin Fimbriate, distinctly red or deep pink or concolorous with the lamellae. (The bright red of the lamellar edge in some fruiting bodies is due to the bright red sap in the cheilocystidia and neighboring cells of the trama; in others the sap will be a pale yellow.) Stipe 5-50 X 1-2 mm, pinkish-fawn lo reddish-brown, darker brown towards the base and darkening on handling, even, shining, with very fine, pale squamules, more distinct hairs at the base and attached to the substratum; exuding deep red latex when broken. Flesh thin red. Smell none, taste unknown. Dried basidiomes are brown, sometimes with blackened areas depending on age when dried. Stipe often completely black.

Microscopically, collections of this fungus are very uniform, easy to identify by the almost spherical spores (highly variable in size, probably due partly at least to the presence of 2- and 4-spored basidia) and the broad band of cheilocystidia with red-brown or yellow sap. Terminal cells 20-30 X 5 µm., with short (3-8 µm.) diverticulate protuberances were detected on the stipes of many of them (Fig. 9: 6). clamp connections are present occasionally.

HABITAT: Gregarious and caespitose on dead wood of Kunzea ericoides, Leptospermum scoparium, Dacrycarpus dacrydioides (A. Rich.) Laubenf., Metrosideros excelsa in lowland podocarp Dicotyledonous forest, on introduced plants such as Quercus robur L. and Cycas revoluta Thunb. in city gardens, and even in limestone caves.

This is one of the most frequently occurring species of Mycena, always in clusters on wood, commonly on Kunzea, Leptospermum, or Dacrycarpus in mixed podocarp-dicotyledonous forest, but also in unusual habitats such as on wood deep in a limestone cave (PDD 55742). The large number of collections indicates the frequency with which this fungus occurs and the variability in its size and colouring, and degree of pigmentation of the lamellar edge. Its habit, in large clusters, always on dead wood, is distinctive, as is the usually flesh-coloured, striate-plicate pileus with a darker spot in the centre and crenate margin.