Thanks for pointing that out. Practically all the reviews I've read on it had the reviewer assuming that since the Technics immediately digitizes the incoming signal, why bother using the analog inputs from a CD player, as they felt it was too many conversions to take.
One reviewer did do it that way and like you, found it to be different, but not really better or worse. I'm really looking forward to trying Coax, Toslink and Cinch (RCA) inputs. I have a feeling that they will all sound great in their own way. Different, but great.
All the best,
Nonoise