They are Prey animals. Outdoor rabbits face many dangers from predators. They could be attacked by cats (both domestic and wild), dogs, coyotes, wolves, and birds of prey such as eagles, hawks and falcons. Even raccoons attack rabbits. Rabbits are low on the food chain in the wild. They also can die simply from the stress of smelling or hearing a predator nearby – even if they aren’t attacked
Rabbits enjoy having their own space. They are comfortable in their “nest” which could be a cage or quiet, hidden corner of the room. They should have time to exercise & stretch every day, but they can be just as happy sitting in their favorite corner. Give them toss & chew toys when they’re in their cage so they exercise both their teeth & active, curious minds.
Rabbits are used to being in enclosed areas for safety and security & confinement is not a punishment for them. Many species of wild rabbits dig extensive underground burrows and spend a lot of time underground. Claustrophobia doesn’t exist in rabbits.
Rabbits prefer to stay on the ground where they have control. Being picked up can be scary for the rabbit. In nature being picked up is a similar event to being carried off by a hawk.
Rabbits are active at dusk & dawn. They are classified as crepuscular by zoologists. This means they are active at dawn & dusk to evade predators.
If you are thinking of getting a rabbit as a pet, this article gives some good advice on how to care for them.