Dear Missioncoonery: +++++ " even though the analog systems Ive heard recently never came close to my setup. " ++++++
well seems to me that you and your ears are already " equalized " to digital: nothing wrong with that.
Your statement could means to me that you own a good audio system ( do you buy/own the Avalon speakers you talk in past posts?. ) that was build around digital source.
If all that is true and especially that you own a good audio system and that you want to enjoy again LP's seems to me that you need to give a better opportunity to LP's, IMHO you decide to spend almost the less to comeback so the result was/is according what you decided about. Of course that I can be wrong, you are the boss here.
In the other side and even with that analog rig things can't be so bad, obviously in your system are.
+++++ " new Akito2 arm,belt,oil,Denon DL160,cables..had it setup correctly. " +++++
in the last 30 years somethings already change or improve and one of them is the critical importance match between cartridge and tonearm where any one aspire to find the right synergy. Akito is not one of my favorities ( maybe the Grace that coming with the LP12 is a lot better if in good operation condition. ) as either the 160 cartridge that is not a good LOMC cartridge and that is not a good MM/MI cartridge either.
IMHO if you want a good analog source then go for better choice: a LOMC or a MM/MI, not a " hybrid ".
There are at least four set up factors that like you say must be correctly: overhang and cartridge offset angle, VTA/SRA, VTF and Azymuth. Could be important that you make a check up again.
In the other hand is convenient that you can hear during the cartridge set up and during the cartridge fine tunning time ( after cartridge settle down. ) to LP's that you know very well with out digital source comparisons, you will have time latter to made comparisons.
Better if you have an audio friend that could help about in case that you don't have any " reference quality sound " with LP's.
All my comments are in good shape and trying/figuring how to help you.
If I was you and after what I posted if things goes the same then my first move will be the Dgarretson advise: try a new cartridge with the MM/MI Ortofon vintage NOS analog source alternative for " cents ", this cartridge is really good and I can't see a critical problem with your Akito/LP-12:
http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&Item=400085013949&Category=64620&_trkparms=algo%3DLVI%26its%3DI%26otn%3D1
Certainly is very difficult to know ( at distance and with out hearing it. ) what is happen in your analog rig performance so take my advise with a" grain of salt ".
Regards and enjoy the music,
Raul.