It is the perfect color. Hang it 5" above the sofa. There are other issues you should tackle though. Clear off the mantel and replace the piece over the mantel with a piece of art no wider than the firebox opening hung 5" above the mantel. Be sure it is no higher than the top of the curtains, but I think they need to be raised so they just kiss the floor. You might add back the candles, but not all the little buildings. Try centering your rug with the fireplace. That may only leave the front feet of the sofa on it, but that will be OK. See about finding new pillows for the sofa in the same blue shade as the painting and curtains. If that is your TV across from the sofa, I suspect it is on a too tall cabinet.
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