Capernaum, on the northwest shore of the Sea of Galilee, is the site of an ancient village and a monumental stone synagogue. Excavations conducted by Vassilios Tzaferis on behalf of the Israel Antiquities Authority from 1978 to 1982 revealed the remains of an early Islamic settlement, which Tzaferis dated from the seventh century C.E. to the Crusader conquest. In this paper, I propose a revised chronology of the two earliest occupation levels (strata V and IV), based on a reexamination of the ceramic and numismatic evidence. The settlement appears to have been established in the first half of the eighth century, a full century later than the date assigned by the excavator.