diff --git a/apps/studio/components/interfaces/Storage/StorageExplorer/archivedOverlay.utils.test.ts b/apps/studio/components/interfaces/Storage/StorageExplorer/archivedOverlay.utils.test.ts
index 593f26913e9..f53e336eede 100644
--- a/apps/studio/components/interfaces/Storage/StorageExplorer/archivedOverlay.utils.test.ts
+++ b/apps/studio/components/interfaces/Storage/StorageExplorer/archivedOverlay.utils.test.ts
@@ -110,6 +110,24 @@ describe('getArchivedOverlayItems', () => {
     expect(rows.map((r) => r.type)).toEqual([STORAGE_ROW_TYPES.FOLDER, STORAGE_ROW_TYPES.FILE])
   })
 
+  it('hides the empty folder placeholder, as the live listing does', () => {
+    expect(overlay(['matches'], [archived('matches/.emptyFolderPlaceholder')])).toEqual([])
+  })
+
+  it('still shows the folder whose only archived object is the placeholder', () => {
+    const rows = overlay([], [archived('matches/.emptyFolderPlaceholder')])
+    expect(rows.map((r) => r.name)).toEqual(['matches'])
+    expect(rows[0].type).toBe(STORAGE_ROW_TYPES.FOLDER)
+  })
+
+  it('still shows a folder that holds a real object beside the placeholder', () => {
+    const rows = overlay(
+      [],
+      [archived('matches/.emptyFolderPlaceholder'), archived('matches/final.png')]
+    )
+    expect(rows.map((r) => r.name)).toEqual(['matches'])
+  })
+
   it('only descends one level at a time', () => {
     const rows = overlay([], [archived('a/b/c/d.png')])
     expect(rows.map((r) => r.name)).toEqual(['a'])
diff --git a/apps/studio/components/interfaces/Storage/StorageExplorer/archivedOverlay.utils.ts b/apps/studio/components/interfaces/Storage/StorageExplorer/archivedOverlay.utils.ts
index 0510fd96808..0592b5a1535 100644
--- a/apps/studio/components/interfaces/Storage/StorageExplorer/archivedOverlay.utils.ts
+++ b/apps/studio/components/interfaces/Storage/StorageExplorer/archivedOverlay.utils.ts
@@ -1,5 +1,6 @@
 import { STORAGE_ROW_STATUS, STORAGE_ROW_TYPES } from '../Storage.constants'
 import type { StorageItem } from '../Storage.types'
+import { EMPTY_FOLDER_PLACEHOLDER_FILE_NAME } from './StorageExplorer.utils'
 import type { ArchivedObject } from '@/data/storage/versioning/archived-objects-query'
 
 const splitPath = (path: string): string[] => path.split('/').filter((segment) => segment !== '')
@@ -40,6 +41,10 @@ export const getArchivedOverlayItems = ({
       continue
     }
 
+    // Hidden as in the live listing. It still rolled the folder up above, so an archived
+    // empty folder stays visible and actionable rather than showing its placeholder.
+    if (nextSegment === EMPTY_FOLDER_PLACEHOLDER_FILE_NAME) continue
+
     if (existingItemNames.has(nextSegment)) continue
 
     files.push({