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Need advice on a wonderful hotel in Istanbul

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My husband and I are spending our 25th anniversary in Istanbul. We will be arriving after a 8 day tour of Greek Islands, and spending 5 nights there. I have been doing much research on hotels in the Sultanahmet area as it seems thats where all the "big " sights are. I am not sure if this is the right decision for us. We love to come back after long day of sight seeing and spend time hanging out like a local. Enjoy unusual but comfortable hotels with a little activity at night. So 2 questions really. 1. Should we stay put in Sultanahmet area or look else where? 2. Any great recommendations for hotels in the 150.00 euro range? Give or take a few $. Thank you for your always appreciated advice. (Oh I forgot to mention we will be in Istanbul October 27-November 1 this year.)

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