It looks like Twitter (X) is shadow banning accounts to make them forcefully purchase the "blue tick"
Ghost banning accounts (mostly unverified ones) by giving them temporary label, and for them to appeal the ban they need the premium.
And it's funny that there is no other details about the "label" are given for the user. User doesn't know what to do, what not to do. When will the Label go away?, no information is given. Unless you pay for twitter premium.
This comes at a time where they announced they are discontinuing the Current Payout system.
Either the company is at a loss. Or they are shutting down pretty soon.