The portafilter and piston seem to be loose. Basket wobbling in the portafilter.
It's okay. The basket, portafilter and piston are not designed to be completely rigid and fixed. This allows the piston and basket to conform to each other and make a proper seal.
We do test each basket and tamper set before shipping. The baskets are not straight up and down, there is a slight taper as it goes down.
If you find any difficulties of chanelling, try to prepare/tamp the basket first, then put into portafilter.