Hi there djluis2k7,
It sounds like you are being asked to enter your Apple ID password every single time you wake your iPod Touch. I would sign out of your account in all the various services that use your Apple ID in your settings. This article outlines all the services where you can use your Apple ID which you should reference to check for places to sign out:
Where can I use my Apple ID?
https://support.apple.com/en-us/HT202659
These are some of the most widely used services that you access with your Apple ID:
- App Store
- Apple Music
- Apple Online Store
- Apple Retail services and programs (Concierge, Joint Venture, workshops, and youth programs)
- Apple Store app
- Apple Support Communities
- FaceTime
- Find My Friends
- Find My iPhone
- Game Center
- iBooks Store
- iCloud
- iMessage
- iTunes Genius
- iTunes Home Sharing
- iTunes Match
- iTunes Store
- iTunes U
- Mac App Store
- Photo Print Products
Then quit all the running apps on the device. Normally you only need to close whichever app is causing an issue, but in situations like this where you cannot tell if a specific app is causing the issue it will not hurt to close them all:
Force an app to close in iOS
https://support.apple.com/en-us/HT201330
1. Press the Home button two times quickly. You'll see small previews of your recently used apps.
2. Swipe left to find the app you want to close.
3. Swipe up on the app's preview to close it.
When you have done that restart the device and test the issue again:
iOS: Turning off and on (restarting) and resetting
http://support.apple.com/en-us/HT201559
Thank you for using Apple Support Communities.