Epic post. Basically a "How to pwn the overworld" guide. Makes me want to take on a Deerclops again.
What character are you playing / which is your favorite (if you have one)?
Any other uses for Gunpowder and Slurtle Slime?
You didn't mention it in your post, but making a quick exploratory trip to the caves to pick up some Light Bulbs is well worth it. Even in the early game, getting a Lantern can allow you extreme freedom to keep busy at night. The Lantern is so useful that it's even worth leaving the caves on your first trip as soon as you find Light Bulbs, so you can go craft one, even if you intend to immediately return to the caves.
Pro-tip for cave exploring: Time keeps on ticking, ticking, ticking... into the future.
The days advance in the overworld just as if you were there... so you can be in the caves when the hound attack is triggered. The hounds wont follow you into the cave, but will be waiting for you when you return to the overworld. As such, laying a field of traps around the cave entrance can be a mandatory preface to a deep cave exploration... especially if you intend to be down for long enough that multiple waves of hound attack could trigger.
EDIT: Make a Miner's Hat before you go into the caves the first time... and bring some extra fireflies to make sure you can re-craft it when it 'burns out'. Light Bulbs spawn in their own biome and your entrance to the caves may not be anywhere them.
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