MTCatEntries 2.2 is available. It lets you use the full coterie of MTEntries subtags; you don't have to upgrade if you didn't need (like I didn't), but you may if you found it broken in the past or may in the future.
Jason Trommetter pointed out using MTDateHeader inside MTCatEntries caused errors about a lack of date context: I wasn't setting the $ctx->{'current_timestamp'}, so it had issues. At first I added just that, but then the default conditions hash was messed up: it displayed the date header for every entry. So then I reproduced the code from MT::Template::Context that did that bit... but then (and after asking Premchaia and Rhun and folks about it) I realized nothing was keeping me from calling that function (MT::Template::Context::_hdlr_entries). I thought maybe it was considered private because it started with an underscore, but apparently not!
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The link to the new source code is broken. :-(
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Gah, sorry—I put the file in the local end of my site software but forgot to publish. It works now.