Move south, capitol on coast vs non coast... its not even a question. First, trade routes in capitols are huge, having a harbor is so much better. Second, you have the option of going for the great lighthouse/collosus (collosus is such a cheap wonder if you have copper its almost always worth getting)
It looks like 2 sw you have another grass hill as well, keep all those plane forests until chemistry, and you get a very nice early city. Passing up settling on the coast... just dumb.