In the 2006–07 season, Kapono's points-per-game average and minutes played significantly increased, and he led the league in three-point percentage with .514, which is close to the all time single season three-point percentage record held by Steve Kerr (.524), and is the fourth best percentage in league season history. Kapono also won the 2007 All-Star Weekend three-point shoot-out competition by defeating Dirk Nowitzki and Gilbert Arenas in the final round with a score of 24 points which tied Mark Price's record for most points in a final round of the 3-point contest.Kapono repeated the feat in 2008, having led the league in three-point percentage going into the All-Star weekend. In the final round of the contest, he scored 25 points, tying the all-time single round record set in 1986. He also ended the 2007–08 season as the top three-point shooter in the league.