Danny spends most of his time here in ghost form. Even after he and his friends had defeated Nocturn, he still didn't change back to human form. He only appears in his human form in his and his friends' dreams and briefly at his house.
Nocturn and his army of Sleepwalkers are the last "new" ghosts to be introduced in the series.
Even Though This Episode Premiered In 2007 It Was Made In 2006 According To The Credits