Okay I have an update. Today I lifted up the car and removed the diff cover to completely understand my problem, and look at the possible problems you guys had mentioned. I can check off that the pinion shaft is not attached to anything, its thankfully not "welded" to the spider gears. It will slide a bit up and down, but I along with a mechanic concluded that it needs to be pounded out, and hope for the best. I was gonna do it today, but I didn't have my car on the big lift, so I will attempt to finish up tomorrow.
I also took a pic of the retainer bolt but somehow forgot to save it, but it is hole, i checked with a mechanic, and it is absolutely hole, however bent.