That's true too, but this trinomial can also be factored into $(p-1)(p-1)$. This is called the product sum method. If you don't see this, feel free to use the quadratic formula, which gives the same answers, but is a bit more difficult in this case.
It must have 4 roots though if it is of degree 4, no? The solution to the problem states: $x=\pm 1, \pm 1$ Implying 4 real roots. So if we have from above $(x^2-1)^2=(x^2-1)(x^2-1)$ and thus we have two terms in which to solve the roots for. No? $(x^2-1)=0 \implies x=\pm 1$ and then again $(x^2-1)=0 \implies x=\pm 1$
Let me explain to you. Geometrically, when I plot $f(x)=x^4-2x^2+1$, the graph intersects (actually, it touches) the $x$-axis 2 times. Therefore, we say that it has 2 roots. Those roots are $x=1$ and $x=-1$.
I get your logic. Although, I am not sure if this makes a difference, but this problem is for a differential equations problem in which I need to find the general solution to a 4th order linear homogeneous DE.