How much should I spend on a new DAC

If I was interested in an excellent standalone budget DAC, this would be the one that I would choose (or try, with their 30 day audition) which Steven Stone rates very highly. For more money, I would probably consider the Holo Spring 3 KTE, the Denafrips Pontus 2,or the Schiit Yggdrasil (not sure which variation). 

Topping

I have the Musician Pegasus and its by far and away the best Dac I've owned. I think its around 3k (got it in a trade).

I'm sure there are lotsa good ones but I've always played in the 1-1.5k area and this ones a lot better. 

I much prefer this pov: how little can I spend and still be happy with the SQ (obviously no DAC is going to "fix" any other problems in my system, including the room)?  With current trends re: (mostly far east) DACs, I feel there's a change in price:performance. As such I'm focusing on a detailed, neutral performance from a DAC and getting the rest of what I want, downstream (processor and speakers - mine are all Active). There are some people who feel strongly that the more you pay for a DAC the better it is; I don't think that's true any more (certainly not from a price:benefit pov). I'm using Qobuz and have only found one MQA album there, so that's not a big deal; if it were, I'd probably investigate DACs that used separate processors to programmatically address that process.

This is ongoing for me, right now; I've got two DACs I'm looking at, and a third is on the way; I'll end up with one for the main system and a second for my PC. I've rejected the Bluesound Node (good reminder to myself to sell it) because of its analog output (my processor has a digital input limit of 24/96 and it would cost me approx. $4k to open that up, so I'll always use the analog out from a DAC) and software.

IIWM I'd start at the lower/middle ends of the newer well-reviewed DACs; pick your two best, return the lesser and see if the remaining one sounds/feels great - if not, use that as a base for the next product you'll test. For me it's like not letting perfect be the enemy of good.  Best of luck.

Herb Reichert from Stereophile who does not review the priciest equipment raved about the new Rotel dac and cd transport for under $2500. He said that his pricier dacs were not better necessarily. He did not mention which pricier dacs but I do believe it may well be the Holo May Dac (because he owns it and he compared Rotel to a pricier ladder dac).

This is just to say I dont think a 5K dac is necessarily better than a 2.5K dac.

I use a benchmark dac3 and depending on the associated equipment it can sound great or mediocre. If you feed the benchmark the right combination of tube amplification and the right speakers and cabling and it sounds deep accurate compelling and very enjoyable. On the other hand I have heard the same benchmark dac with same benchmark preamp LA4 sound clinical or too bright if not the right synergy.

bottom line imho its more about the synergy of quality components than the idea that one quality component is ideal for any situation.

I also have two marantz 30N universal players and in one system it sounds fantastic right now and in the other system it currently is uninvolving.....so its not the equipment imho....its the relationship between all the equipment and your room and the power distribution in that room too

This I can tell you I bought the R26 , I added a lower price pangea sig 14 mk2 using Cardas best -0 Crystal copper $140 and the Synergistic purple fuse was a nice jump up in imaging depth of ,and dynamics, give it a solid play 24-7for a week ,I use the Isotek breakin cd , then use track3 asa tune up tape every other day it’s only a 5 minute sweep . $340 is not much if you listen to music often, it brings this very good dac into a higher range of quality,refined sound 

left in non oversampling mode.