During the Arsacid dynasty of the Kingdom of Armenia, it served as the main town of Ayrarat province and the capital of its Aragatsotn canton from which the Amatuni noble family ruled.

Just to the south of the town is the Didikond Hill, where excavations have uncovered a fort and five palaces built around the 7th to 5th centuries BC.

To the north of town located in the Mankanots Valley is Saint Sion Church dating from the 7th century AD.

The village of Oshakan is mentioned in a 13th-century inscription on the southern wall of the Katoghike Church of the Astvatsnkal Monastery built between the 5th and 13th centuries.

He wrote a short passage speaking of his previous days stay at Mughni to visit the Monastery of Surb Gevorg, "In the morning, after services, we went down to Oshakan."