Time capsule/airport

I set up a new Airport time capsule to be my router. It is connected to the modem by ethernet cable. It is working correctly, and connected to the internet and I am able to use the Airport for wifi. The status light on the time capsule is blinking amber. In the airport utility the status shows ethernet unplugged. However it is connected and it is working. Ive tried hard resets to the Airport/time capsule and to the modem and the error still shows. Do I just select ignore at this point since it is connected?

I also turned off the wifi on the modem to be sure the time capsule/airport was working and it is.