Killdeer, Ishtehotepah, the King of the Cherokee Nation lived about 10 miles from here, when the Cherokee ruled from the gulf coast to Pennsylvania. It may be a Cherokee artifact, but have no way of knowing for sure, since different tribes inhabited the area at different times. I live near the town of New Albany in north Mississippi, and when the town was settled at a river crossing, there was a group called the Alabamos who inhabited the area. I don't know what tribe inhabited the village that was about a mile from here.
A branch of the Natchez Trace passed through this area, following the Tallahatchie river. The Tallahatchie is about a half mile from my place. The origins of the Natchez Trace are lost in antiquity, but the Trace was used by everyone who traveled through the area, white settlers and Natives alike. Now the whole length of the Trace is a National Park, and I drive it regularly, 50 mph speed limit and all! It goes from Natchez, MS to outside Nashville, and originally went further north.
Whenever I hold the piece, the resemblance to a bird's head is what comes through most strongly. The taper to the hole makes me wonder if maybe it was used to smooth and shape small pieces, as you suggest.