I crocheted it into a stocking cap style. Surprisingly, I couldn't find any patterns for such a hat online, so I made up my own pattern. And it came out pretty well. I used a nice green for Christmas, and I also made an adorable little pom-pom for the end.
It took quite a while to make, but I think that was mostly because I had to create the pattern while I made it. I think it's really cute, and I plan on making two more for my other dolls.
Also, I've really been in the Christmas mood lately, which is crazy because Christmas is so far away. I mean not technically, but right now I need to focus on writing a novel, not making stuff for my dolls. I already have some other crafts planned for them. :P