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It is the warhead for the older 66mm LAW rocket. It uses a piezo-electric crystal in the nose that crushes and generates a spark of electricity that detonates a base detonating fuze at the rear center of the warhead (as do all HEAT shaped charges). I have no idea why the rocket motor (a tube about 10 inches long, with fins) is not present.
If the nose has impacted and partially collapsed, you can get a bellville-spring effect. (Think of that annoying popping of the bottom of a beer can, in-out, pop-pop). Except, if the nose cap pops inward and the crystal is crushed - detonation. There is supposed to be a graze element (set back armed under the push of launch) that detonates the warhead upon sudden de-acceleration, it obviously did't function, but may be cocked or half cocked and at risk of being jarred free.
In extreme cases, I've heard of the mere cooling of a shadow on the warhead causing uneven cooling of a sun-soaked fuze, freeing a firing pin that then slammed home.
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