I was sleep deprived until my son turned 6 years old and we had our daughter. When she turned 22 months and both of them seemed to want parenting 24-hours a day, I had enough. I yelled at everyone to leave me alone and I stormed off to my bedroom and went to sleep, daring anyone to wake me. Since then, no one has disturbed my sleep again unless they are ill. It is a miracle I still have my sanity (I think), and I still love my family. I would rule out any digestive issues that can cause sleep problems. My son, when he was a baby, had a difficult time with gas, which contributed to crankiness. He also had chronic ear infections, allergies and asthma (later diagnoses). If you've ever had sinus problems, you can imagine how uncomfortable bedtime can be, so we learned to elevate his bed. When he was 3, we got the bright idea to get him a bunk bed, which he loved. It wasn't until he turned 10 that he was able to articulate that the bottom bunk was very uncomfortable. Probably hated the idea of sleeping with something over his head. So, we told him to sleep on top bunk, we added humidifier and he's had a much better sleep since then. So, you've put a flannel blanket in and one of your own t-shirts? Make sure she's not allergic to flannel or the detergent you are using. Also, have you tried swaddling her? I can't remember the name of the wrap method, but basically, the baby feels like she's back in the womb, which is probably why she enjoys you holding her while she's sleeping. I never got the hang of it with my son, but when my daughter came along, I learned it quickly and it does work until baby is about a year old. You can find out more about that at www.aplaceofourown.org. And, if you are indeed sleep deprived, try taking naps when she naps in the daytime. I didn't do that as much with my son, because I continued working. When my daughter came along, I quit and learned to conserve my energy-not doing housework while she slept. And, I wish someone had explained to me that some degree of sleep deprivation is part of the mommy job description, particularly if Dad travels a lot with his job. See if you can enlist some help from family, if they are nearby, so that you can rest. If family is out of area, maybe one might be willing to visit you once per quarter or so to give you a break. Or hire a babysitter that can come at least twice per month and will babysit while you are home so you can rest a bit. You'll feel a lot better.