325E wont start

I am having problems with a 1986 325E, it died and will crank but not start. I am assuming it is getting fuel because I disconnected the fuel filter, then the fuel regulator, and gas pumped out of both while cranking the car. The coil is putting out voltage, I replaced the cap and rotor, but still no spark that I could find, it is possible I wasn't using metal that would be good enough of a ground. If ether is sprayed into the intake, it will putt a couple times but will still not start. Should I replace the distributer, or are there other things I should still check, or may have done wrong? thank you for any help.

How long since timing belt was changed? With rotor cap off have somee one crank her and see if the rotor rotates, if not the belt may be broken

we didn't try that, but I can see the gear by looking between the front of the head and a metal plate before the cap, and it was turning when cranking the car.

If fuel is present and coil is putting out voltage, take off a plug wire and using insulated pliers, hold plug lead close to the plug and have the car cranked and see if you have a spark at the plug. I do not have a Bentley handy but the crankshaft position sensor, if bad will create this situation (happend to me) on my daily driver (1998 Neon).

If you're still having a problem try posting on BMWe30.net. They'll help you for sure.

check the plugs for fire. Take them out (also to make sure there not flooded/wet) plug each back into the spark plug wire and ground the plug against good metal or use a pair of jumper cables to clamp on the plug and then ground the other end of the cable. If each plug was dry and fires good put them back in (if they were wet replace them). Try pouring a little bit of gas down the intake, not to much, and then hold the gas pedal on the floor and crank it. If it makes a good try you have a fuel problem (fuel pump, fuse, relay or possibly the dme not firing injectors). If it doesn't try hard you probably have like stated above crank/cam sensor bad or its out of time.
Have you checked codes??