It depends on where you want to go… how far. Most of us have upgraded our systems over years.
I have a couple rules of thumb. 1. Never upgrade less than 2x or more in investment. This makes it very probable you are going to hear a really big improvement from the upgrade of each component. 2. Each electronic component (function) should be invested at approximately the same level (but you must choose the very best and compatible with your tastes). So, amp = preamp = DAC= phonostage = streamer. At this is point the full upgrade cycle is over… even if it takes couple years or more.
So, if you really want a big upgrade by the time you are done… then shoot for $1K to $1.5 K per function. In your price category I would not shy away from used. When done, your next step would be speakers, effectively starting the cycle over… or ending the cycle… depending what you want to do.
So, step one would be a great preamp. If you have the money, you could do an amp at the same time (or an integrated). Then, spend a lot of time with them… at least a couple hundred hours of listening… then go for a DAC and then a Streamer. I don’t know how invested you are in vinyl… but I would leave that behind. Lots of cost that could better be invested in your core system and streaming. A format with nearly infinite music with almost no cost.
Every component counts… the greater the investment the better it sounds (assuming you do your research).