Need DAC suggestion

Coming into some $$$ soon. I want to upgrade the sound of my Denon DCM-27. I also want to be able to stream my iPod library, in addition to getting into hi-res files.
All this means I need a DAC that has a digital coax input and a USB input that will take a 24/96 signal. USB 2.0 would be great.
Does the Squeezebox Touch do all this? I know it has a USB port, but can it take 24/96 through it? All my music is on an external flash drive. If the SB Touch cannot do 24/96 through the USB, can it stream this format wirelessly? Also, I saw this: "The capability of Squeezebox Server on a PC to import (scan) a library maintained by iTunes is not supported." Huh?
Oh, and budget is a problem, I'd rather not go much above $400...
Audiogon and its http policies...

is the reference in question.
Although the Dacmagic has been around for a while, the various inputs, filtering options, outputs including balanced (which I use), and sound seem to keep it among the best values in audio. I recently compared it to another few DACs at an informal audio geek gathering. We had my Dacmagic, a w4s dac2, a Rega, and a music hall...none seemed to be obviously better than my Dacmagic...we also tried some power suppply difference was detected and we were trying really hard to hear differences...the good news is that all these dacs sounded great, but the Dacmagic was the least expensive (especially used) and had more features.
Chatta...yeah! One of the Hifi mags I read recently ("What Hifi" maybe but I'm not sure) had a cool little article noting how great the Dacmagic is relative to anything else out there...I still think it would get more kudos if it cost $1,762.53 instead of the 300 bucks I paid.