Just to confirm, were you a part of YPP earlier and now demonetized or is it the first time you applied for YPP & got rejected? Also, share a screenshot of your channel's monetization page: https://yt.be/help/xukU . Keep us posted.
Thanks for the screenshot. We're reviewing all the applications manually, so it does take some time. As long as your channel meets the eligibility criteria, threshold & YPP policies, you can expect to hear back soon. Appreciate your patience in the meantime.