I've seen and touched this plant before though this is the first time I heard about its scientific name. People in my area have always called it the touch-me not plant and the shy plant. Most likely it makes that movement to protect itself from predators. Plants normally make adaptations to protect themselves such as roses have thorns to protect themselves from herbivores.
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I'm with you on the self-defense theory. When the leaves close up, the thorns on the stems would be more prominent.
Yes, I agree with you on that aspect. The leaves closing up though are probably more effective against smaller insects looking to feed on its leaves.