Mix the soaker: Combine all the ingredients for the soaker in a covered container. Mix to moisten and set aside at room temperature. Let sit overnight or longer, shaking or stirring every few days.
Make a quick sponge: 30 minutes before you want to mix the dough, combine all ingredients for the quick sponge (flour, milk, yeast) in a small bowl and let sit at room temperature for 20-30 minutes.
Mix the dough:
In the bowl of a stand mixer fitted with the dough hook attachment, combine all-purpose flour, sponge (yeast mixture), milk, egg, sugar, butter and salt. Mix on low to combine then increase speed to medium to develop gluten.
Once the dough is shiny, smooth, pulls away from the sides and you can pull a window pane, reduce to low speed and incorporate the soaker.
Turn out into an oiled bowl, cover and bulk ferment (proof) for 1 ½ hours in a warm place (78°F) or longer if it is cooler. Fold the dough to degas after 45 minutes.
Pre-shape round by folding all 4 corners into the center, flipping it over (seam side down) and tightening into a ball by pulling towards you with both hands.
Cover with plastic wrap and let it bench rest 10-15 minutes to relax the gluten.
Final shape into a round boule by flipping the seam side up, folding all 4 corners into the center. Flip it back over seam-side down and tighten into a ball with a smooth top by pulling towards you with both hands. Let rest 10 more minutes before poking the hole in the center.
Prepare a kugelhopf cake pan by brushing with softened butter and placing a blanched whole almond in each of the peaks at the bottom of the mold.
Poke a hole in the center and place it seam-side up in the prepared cake mold. Final proof for 1 ½ - 2 hours at room temperature until light and airy.
Bake in a preheated oven set to 350°F for 40-45 minutes.
Cool 15 minutes in the pan before flipping out to cool completely on a wire rack.
Once cool, dust with powdered sugar, slice and serve.