Amanda Bynes is allegedly showing signs of schizophrenia.

The 27-year-old actress, who was placed under an involuntary psychiatric hold in a Los Angeles hospital on Monday night (22.07.13), after being arrested for starting a small fire outside a stranger's home, could remain under medical supervision for another two weeks, as her doctors want to properly diagnose her.

A source told gossip website TMZ.com that her medical team will seek an extension on her 5150 hold as the 'Easy A' star, who retired from acting to focus on carving out a career in music, has been displaying signs that she is suffering from mental illness since she was taken into police custody earlier this week.

An insider previously revealed that Amanda's parents, Lynn and Rick, believe she is a danger to herself and are hoping to secure a conservatorship that would give them legal control over the actress until she gets her life back on track.

Amanda was arrested and admitted to hospital after using a canister of gasoline to light a fire on an elderly woman's driveway in Thousand Oaks, California.

She accidentally soaked her Pomeranian puppy in gasoline and surveillance video showed her rushing into a nearby liquor store to wash the pet.

The dog is now in the care of her parents.