Question: why this limitation in the limit() command?

These give errors



Error, (in limit) limit variable previously assigned, 2nd argument evaluates to y(0) = 1

One has to write 


But why? Is this because y(x) is not considered "algebraic" ? 

Mathematica has no problem with either one of these

I found this when I was trying to find the limit at initial conditions, when x=0 and y(0)=1 and wanted to take the limit on both x->0 and y(0)->1 

I can easily code around this, by renaming y(0) to say Y0 and then the limit will work.

It just seems to be unnecessary restriction of the limit() command parsing ability. 

What is the logic behind not allowing one to write limit(y(x),y(x)=1) ? 

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