The idea that "when you extend that" is something human beings can do is an absolute revelation to young mathematicians. The idea that our notations are, at least in some sense, choices that we make that come with tradeoffs is a huge point of mathematical maturity for them, and usually causes my students to look back with either deep awe or deep suspicion when they realize that even our choice of base 10 is a choice among many and we can make other choices.
As von Neumann said, very much something to get used to.
> It's not because 'function powers' make sense, yhey are just iterated function application.
To be clear, I think you aren't saying "It's not because 'function powers' make sense" (which seems to apply that's not the reason it's done, and possibly that the reason isn't correct), but rather "It's not [an appalling notation], because 'function powers' make sense"—to me, that extra comma changes the meaning!
Notation in higher level maths is almost always very ambiguous. Because many concepts are analogues of each other and to reflect that notation is just taken from the analogue. Within a single domain, (like high-school arithmetic) you will usually not have this ambiguous problem. But once you move past that, it is something to get used to.