4th generation nano stuck in restore loop   blank screen

The screen of my 4th generation nano suddenly went blank and when I connected it to my macbook pro, it said "iTunes needs to prepare your iPod for recovery. Please leave your iPod connected." I performed the entire restore process but the loop continued. I've looked up various threads and done everything they say but nothing has been successful.
What I haven't read about is the recovery loop occuring along with the screen staying blank. I know my screen is working because the backlight stays on when I connect or disconnect it from my laptop. Only when I try to reset my nano does the backlight go off. However, the ipod doesn't reset and nor does it restore.
Any suggestions as to what the problem may be and what I can do?

I had this exact issue with my iPod Nano 6th Gen. Spent close to 4 weeks on forums and found no solution. Ended up calling Apple Support and they directed me to a Service Company here in Singapore. But I was immediate faced with the dreaded UV torch, the torch they check water damage with. After 2 iPod Shuffles and now 3 iPod Nanos, I should know better. iPods are just fit for exercise,. no matter how careful you are, or what protective case you use. Nothing is going to protect it.
The current iPod Nano 6th Gen will have restart issues and require you to restore when connected to a computer, usually resulting in Unknown Error 1430 (VERY common error).
Result was I am continually told the iPod is water damaged and not covered. Seems the iPod range has a hyper sensitve water sensor, which even moisture on your headphone plug will set off. If you google iPod Water Senor you'll find hundreds of cases globally with the same issue.
This ***** cause the iPod Nano, particularly those that are Nike+ compatiable are heavily marketed as music players for exercise. But the reality is, they just can't handle sweat.
I also experienced this annoying reality with the previous iPod Shuffle, where the earphone controls continually broke down from moisture.
After 6 years of trying iPods for exercise, I am still waiting for one that is actually built for exercise.

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    Result was I am continually told the iPod is water damaged and not covered. Seems the iPod range has a hyper sensitve water sensor, which even moisture on your headphone plug will set off. If you google iPod Water Senor you'll find hundreds of cases globally with the same issue.
    This ***** cause the iPod Nano, particularly those that are Nike+ compatiable are heavily marketed as music players for exercise. But the reality is, they just can't handle sweat.
    I also experienced this annoying reality with the previous iPod Shuffle, where the earphone controls continually broke down from moisture.
    After 6 years of trying iPods for exercise, I am still waiting for one that is actually built for exercise.

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