Cirrhilabrus bathyphilus is a deepwater fairy wrasse from the Coral Sea region, with records spanning the northern Great Barrier Reef, Holmes Reef, Chesterfield Bank, New Caledonia and southern Vanuatu. Most collections come from depths between roughly 60 and 217 meters along coral reefs and rubble slopes, though the type specimen was taken from shallow rubble at Holmes Reef. Males are reddish orange with a yellow belly and dark edging along the dorsal and caudal fins, and the yellow tail carries a broad black submarginal band with blue blotches above. The most reliable way to separate this species from the similar Cirrhilabrus efatensis is the transition between color zones: in C. bathyphilus the red of the forebody fades gradually into the orange posterior, rather than ending at an abrupt boundary. Adults reach approximately 4 inches.

Adult housing should begin at 55 gallons, and a longer footprint suits this fish better because it swims actively throughout the day. Combine generous open water with substantial rockwork that includes crevices and shaded caves, since this wrasse wedges itself into rock at night instead of burying in sand. A sand bed is therefore optional rather than a requirement. Good water movement is beneficial, and specimens collected from deep water often settle in more readily under subdued lighting. A tight-fitting lid is not negotiable: fairy wrasses are persistent jumpers and will launch themselves when startled.