"Totti's sending off against Korea was neither a penalty nor a dive. A referee with a feeling (for the game) would not have shown him the card, bearing in mind the same player had already been booked."
Moreno insists that he made the correct decision in sending off Totti for diving during extra-time.
"I would do it again," he told Il Messaggero newspaper. "I don't even have to watch the replays. Totti dived."
Blatter refused to lay all the blame for Italy's exit with Moreno and criticised the reaction to the defeat.
"Italy's elimination is not only down to referees and linesmen who made human not premeditated errors," Blatter told La Gazzetta.
"Italy made mistakes both in defence and in attack.
"I call on Italian soccer to display some dignity and fair play because you can tell a great side more by the way it accepts defeat than by the way it handles victory."
But the Fifa president is already planning to change the way in which referees are chosen to officiate at the World Cup in future.
"A World Cup that receives the best players and teams in the world should be overseen by the
best referees regardless of their nationality," he said.
"From now on we will call in the best, full stop, even if they come from just a handful of countries."