itouch memory reset

Hey Eteraleaf, factory restore to new will wipe everything you added, but you lose anything you haven't backed up to your computer. A reset will do little to free up memory. Removing unused apps, photos and/or music will have a better impact without clearing everything. Something else you could try, if you already haven't is set all music on your iPod to 128kbps. Higher bit rates use the majority of your memory. Connect your iPod to your computer from the Summary page of On This iPod go to Options and check Convert higher bit rate songs to 128kbps AAC. then tap sync. Should free up a good chunk of memory, and you really don't notice the lower rate. Hope this helps, Cheers.

Not really, a factor reset will get you to about 6.4 Gb available because the difference between 8 and 6.4 is taken up by the operating system and of how GB is advertised

How Mac OS X and iOS report storage capacity

However, before you restore to factory settings/new iPod

OTHER

Connect the iPod to your computer and look at the storage used by the various categories as shown in the colored bargarph in iTunes.

Come back with the results.

What is the Other on my iPhone and How to Remove It

An "other" larger than about 1 11/2 GB usually indicates that the "other" includes corrupted files.

First try:

"First you go settings/general/usage/music/then left swipe over music and press delete and you would think it deletes your music but it doesn't instead it deletes your other but make sure your ipod is connected to a computer while doing this"

as recommended by:

How do I get rid of "other" storage: Apple Support Communities

Next, usually restoring from backup eliminated the corrupted files. However, sometimes restoring to factory settings/new iPod is required.

To restore from backup see:

iOS: How to back up

To restore to factory settings/new iPod see:

iTunes: Restoring iOS software