For the record, I am long CMXI for reasons best stated in Napodano's many well written articles.
The question being asked--or what should be asked--is "How can this stock be done after the CMS decision appeared to be so favorable?"
The first theory of the stock collapse from $0.70 is that the news wasn't as good as it could have been. Napodano describes the "donut hole" better than I can. CMXI got part of what it wanted--but it could have been better. That said, the part that they did get should have propelled the stock--or at least keep it above what it is now.
The second theory I've heard is the impact of Lincoln Park Capital selling. Keep in mind that Lincoln Park does NOT work in a vacuum. They have gains and losses elsewhere. Lincoln Park had a similar financing arrangement with ZCLS. Unfortunately, ZLCS did not gain FDA approval on their lead drug. The stock cratered. And with it, the theory goes, Lincoln Park suffered substantial losses. Hence, the gains that they had in CMXI--albeit temporary---were quickly liquidated to offset the ZLCS losses--maybe for tax reasons.
Will the selling abate in 2014? Hard to tell. My best guess is that we're in wait and see mode until the CMS guidelines become less murky.
The agreement does not allow Lincoln to own Cyto shares that amount to more than 9.9% of the float so the selling will continue.... Until it's no more. Lack of credibility ( also per Napodano in one of his tweets) along with non existent communication and poor visibility is why we are where we are. It will take some serious work to turn things around: finish off the recover trial for starters would be great. And partnership of course