iPodiPod nano 5th gen - stuck in bootloop (Error 1601)

I bought an "untested" iPod nano 5th gen that was barely used. When I plugged it into my computer, it was able to identify itself and show all of the normal sync menus, and disk mode also registered normally. There were a bunch of songs and videos on it, I was able to delete them via disk mode. seemed like everything was working normally.

I decided to restore it through finder, so I put it in DFU mode and began the restore process. The process eventually failed saying it knew there was an iPod connected, but couldn't identify the model and I needed to unplug it, and plug it back in. I did this and the restore stopped. I entered DFU again and now it began the restore process, but kept giving me errors like "apple servers couldn't be reached" or "software for this iPod is unavailable".

I again tried different cables and computers and was finally able to get DFU mode to activate again but it appears now to be stuck in a bootloop. the iPod won't power on unless its plugged into the computer (now I assume the battery is shot). Now when I go to restore, I get an eventual fail error:

"An iPod has been detected, but it could not be identified properly. Please disconnect and reconnect the iPod, then try again. An unknown error occurred (1601)"

the device is still boot looping and even though it recognizes there's an iPod in recovery mode, nothing I do will get it to stop boot looping long enough to restore. Im assuming the previous restore attempt now somehow corrupted it or the failed battery may be the cause. any ideas?

I can gain access to the diagnostic menu by pressing the rewind button and center button. I don't see anything abnormal in there. shows the battery voltage and the NAND appears to pass its self test. I did notice the EFI version is 0.0e0.