Ipod touch not syncing
About a week ago my itunes would freeze on startup, and I selected a new itunes library (i have all my music, games, and movies in one folder so there isnt anything missing or added) and that did the trick of fixing my itunes. but since ive made the new itunes library, when i hookup my ipod touch it says "erase and sync to the new ipod" so i click yes. but then it says there isnt enough space, when i have a 32 gb ipod and about 17 gb of stuff thats syncing to my ipod. what do i do? thanks.
a picture is attached.
iPod touch (4th generation), iOS 5.0.1