I wondered if using square roots to prove that $N^0=1$ is valid (where $N$ is any real number). The way I propose to do this is as follows:
We consider when $x > 0$. If we do an iterative method:
$x_2=\sqrt{x_1}$
$x_3=\sqrt{x_2}$
and so on... we get that this would tend towards 1, so $x_n=1$ as $n \rightarrow \infty $.
This is equivalent to writing $$(x)^{\frac{1}{2}*\frac{1}{2}*...*\frac{1}{2}}$$ which tends towards $(x)^0$, and we know that this tends towards 1.
Would this be valid? And how would one prove this for $x \leq 0$, and perhaps formulate it better than I have managed to?
Assuming that you are using one of the inequalities
$$n\le\sqrt n\le1\text{ or }1\le\sqrt n\le n$$
to squeeze, you are indeed showing that
$$\lim_{x\to0}n^x=1,$$ if the limit exists.
But
this is not sufficient to prove that the limit exists (as you just use the particular exponents $x=2^{-k}$),
this does not "prove" $n^0=1$, which is a pure matter of convention, but proves that the function $n^x$ is continuous at $0$ when you admit that $n^0:=1$.