A simple and straightforward Geometry Nodes setup, creating the effect of a dancing and morphing blob from a grid of rotating capsules. The file comes in two versions - in oone the effect is driven by a 3d noise pattern procedurally, the other offers an real-time audio input to drive the effect.

Video demo here, here and here.

The number, dimensions and other properties of the capsules are fully procedural and customizable, along with the rotation speed and variations.

The morphing effect is achieved by modified Noise Textures or Audio.

The setup works with 5.2 and above, please adjust Eevee to your needs. Of course, you can set up the renders with Cycles too.

The Blend file contains detailed explanations and the labels attached to each node.

Video demo - 1, 2, 3.

Happy Blending !