This is a form of my own name Kaetelyn. It is ironic that this is of English origin since my family is from Ireland. This site is the first place that I have found the AE spelling for the sound AY. I often hear people pronounce my name as Kettle-lyn.
But, Kaetelyn, does anyone EVER spell your name correctly on the first try without your help? I do like the sound of Kettalyn or even Kettlynne. In fact, more so than the standard Caitlin.
This is quite a weird way to spell Katie, which in itself shouldn't be the official name of a woman, but a nickname instead. It sounds very girly and youthful, after all, so the poor woman might not be taken seriously. Forget pretentious spellings and name her Katherine if you like this name.