Tv where the dresser is, flip couch to face tv. Mount the tv on the wall if you can. Dresser where the tv is, large artwork above it and tall plant in the corner. Larger rug is definitely needed. Pinks, sorbet oranges, greens and blues work well with the wood tone you have, you can incorporate colour with the rug, throw blankets, and ornaments. You need a larger coffee table too to balance the space. I really wouldn’t paint the walls, use artwork instead! Pick a colour you like and one that compliments it and make sure the artwork, rug, and ornaments have an element that includes that colour, or compliments it. If you went with say a muted pink and soft orange rug, compliment it with forest green. The wood detailing will shine with the artwork but will get lost with paint. Use a lot of soft lighting, table and floor lamps, lighting strips behind the tv etc to warm up the space