The German football association (DFB) said on Tuesday repeat offenders Dynamo, who were already on probation from incidents last season, had failed to safeguard their high-risk German Cup game in August against RB Leipzig, nicknamed the Bulls.
Dresden fans had thrown a bull's head onto the inside area of the stadium, unfurled insulting banners and hit one player with a coin during their win over fellow East German club Leipzig, owned by energy drinks maker Red Bull.
There were a total of six incidents of unsportsmanlike behaviour from their fans, including at three other games in October, the DFB said, including the use of banned flares.
This is not the first time Dynamo has been sanctioned, with the club having been suspended from the German Cup in the 2013/14 season due to crowd trouble.
(Reporting by Karolos Grohmann; editing by Amlan Chakraborty)
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