Put into bat, England was restricted to a moderate 105-8.
In reply, Australia comfortably scored 106-4 in only 15.1 overs.
Australia, which beat the West Indies by eight runs in a close semifinal match, took firm control in the middle part of the innings with captain Meg Lanning smashing a 30-ball 44 with four fours and two sixes.
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Coyte removed openers Sarah Taylor (18) and Charlotte Edwards (13) before Knight rescued the 2009 champion with a 24-ball knock with three fours.
Medium-pacers Ellyse Perry and Rene Farrell then chipped in with two wickets each as England made slow progress with wickets falling at regular intervals.
Scores:
Australia Women: 106-4 in 15.1 overs (Meg Lanning 44, Ellyse Perry 31 not out, Natalie Sciver 2-12)
England Women: 105-8 in 20 overs (Heather Knight 29; Sarah Coyte 3-16, Ellyse Perry 2-13, Rene Farrell 2-27).