I have another MIDI cartridge (A C-LAB clone called The 64er (1in, 3out) It resides at $DE00, I have been playing with the cartridge settings, on a real C128DCR it plays nice with DATEL type settings.
For my cart on the C64Ultimate I have not had any success, but I do see the signalling. I don't have the skills to pull up an assembler monitor or probe with a scope, or write a polling software, but I think these settings might get you in the right direction.
First, write a config out BEFORE changes, and then you can restore easily back, and you can also save a config file for Kerberos too.
Try the following settings and let me know if you have any luck.
Also pretty sure you need to turn off the Modem which is stealing one of the I/O lines. It's on by default on the C64Ultimate, and Off by default on the 1541 U2+L. Go figure.
Good luck tinkering.
~IK