Riskanalyst, the catalyst for the drop in CXTI.ob is the notice of late filing for the Q3 10Q, which came out around 11:30 AM.
The ST traders quickly dumped their shares, assuming that this means bad news.
I would bet that 99% of them don't realize that this has happened to CXTI.ob before. They filed a NT-10Q for Q1 and filed the regular 10Q one day after the deadline, and it was a huge quarter. The wording on the NT was exactly the same:
"The review of the financial statements has not yet been completed."
I'd expect a similar pattern with the 10q probably being filed by the end of this week. There is a lot of anticipation building over this report, and because many recent owners of the stock have huge gains in the past two weeks, they elected to shoot first and ask questions later.