It’s often wise to limit the space when the bunny is very young, but you really shouldn’t have fluff in the entire cage if you want her to be litter-trained, which is not so hard as it may seem + it’s a great advantage later on if you want to give her more space. She can have a diggy-box with torn-up newspaper + fluff so she can dig and have fun with it, but the cage can be fluff-free save for the litter-box. Fleece blankies (or pieces of) is often enough. In nature, wild bunnies never line their burrows with soft stuff except when they’re expecting babies; then the mum pulls her own fur out and makes bedding of it.

I think she will discover the awesomeness of the second floor of her cage sooner or later – most bunnies are a little cautious of new things at first and need time to adjust.

A play-pen is not the best choice if it’s fabric, fabric + bunny-teeth means the fabric will come out the loser every time. There are metal X-pens and other varieties of play pens that are better suited for bunnies.

I think 2 hs of play-time is rather a minimum for a young bunny, but that’s my personal opinion. I’m sure other members will offer more opinions and suggestions =)

I agree on taking the fluff out of the cage…it sounds comfy and awesome, but it makes litter training so much harder most of the time. None of mine have ever really cared for it – Hershey used to toss all the bedding out through the cage bars until I got the hint and just stopped putting it in there.

Floor time is awesome for bunny AND for you (they’re so fun to watch)…so I think an x-pen extension or even just some cube panels to make your own extension would be awesome to give her some extra room. Before I had my own place and Hershey just lived in my room, he had an x-large pet store cage with a cube extension on it that I could detach and move around when I needed to rearrange the room. If you have carpet floors and worry about that, I got one of those clear plastic things you put under office chairs (so they can roll on carpet easily) and put that under his area…easy to wipe clean