This cap is good combined with a baby blanket.
https://youtu.be/Mq0SuAtAFVs?si=VNZxzSy_4OpI5-la
Baby blankets pattern is here
https://www.ravelry.com/patterns/library/baby-blanket-wit...

This soft and cozy newborn hat is knitted in the round using the Magic Loop technique. It’s a quick and simple project, perfect for beginners and ideal as a handmade baby gift or baby shower present.
Video tutorial https://youtu.be/O_ykfq8vQvw?si=IKyn9liNYFt2awOZ

The pattern includes easy instructions for garter stitch, stockinette stitch, and simple crown decreases. Great for practicing small-circumference circular knitting.
Skill level: Beginner
Techniques used:
Knitting in the round (Magic Loop)
Garter stitch in the round
Stockinette stitch
Basic decreases
Finishing with a tapestry needle
Materials:
Soft baby yarn (lightweight / fingering or DK)
4 mm circular needles (long cable for Magic Loop)
Tapestry needle
Size: Newborn

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Thank you and happy knitting.