My DS wants and iPod touch for Christmas so I've been watching the prices for a few months.
Turns out, they are coming out with a new one in October. New model = high demand = hot item. Depending on how many were produced, it may be hard to find. With Apple you just never know!
In my experience, when a new iPod was coming out, stores quietly reduced the price of the older model and kept it there until it sold out. This happened to me when I tried to buy my iPod touch 2 years ago. I had to wait until I could get my hands on a new one.
I checked online and right now the current 8gb iPod is selling on
Amazon, Target, and Walmart.com for $204. That's a $25 price reduction. They won't go much cheaper. The only deal you may find is in store to purchase the iPod at full price (8gb for $229) and they will give you a store credit for $25. Target ran that special 3 weeks ago. Toys R Us ran it 2 weeks ago.
I went ahead and ordered for my DS. With the new model coming out, I'm scared that I won't be able to find one for Christmas. That's all he wants so I'm not taking any risks!