I think if it were mine, I would pull off that moss and check the roots. The second picture seems like it is dehydrated, and that very well may indicate a root problem.

The lack of big, healthy green leaves makes me think there is a problem concerning roots or watering.

It does not need a bigger pot; Phalaenopsis orchids like pots on the small side. Many common places to get orchids (especially grocery stores) often have them potted up in sphagnum moss, and I think it is very hard to keep an orchid in good health while it's in the moss.

The 'you don't really need to read this' section:

Sphagnum moss is an undesirable planting substrate because it often retains too much moisture. When you water, the water sits around the roots, and rots them. You will see the leaves grow wrinkly and yellow. This is very deadly, as it does not take much overwatering to put an orchid over the edge. By the time the leaves are all yellow, there is little hope for the plant. On the other hand, many people hear about this and proceed to underwater, hoping to counteract the influence of the moss. These orchids usually die too.

Luckily, your plant appears highly save-able!

You will need to change the moss out for something like 'orchid bark' which (along with almost anything else) you can purchase online, or you can concoct your own mix; there are many discussions on this forum about orchid mixes (just search it).

I would say keep the plastic insert when you take the plant out, get off as much of the moss as you can, if there are any rotted roots, cut them off. Plant the orchid back into the insert using a better mix, and put some gravel in the bottom of the pot so the insert won't be sitting in water that has drained out the bottom.

Orchids are rainforest plants, so you will need to make sure it does not get too dry. Of course, too dry for a month is better than too wet for a month.

Good luck!!

~palmsandsnow

Leaves do yellow and fall off, that's part of the natural, healthy process for orchids. Don't cut it off, let it fall off by itself.

I'm always worried about moss. Most of mine have been repotted in bark (bagged orchid mix from any home & garden store). You really can't ever overwater it that way. Once or twice a week, run it under the tap, drain it really well, and you're all good. If it's really dry (winters are very dry here), let it soak in a bowl of water for 10-30 minutes, then drain it well. Set it near a nice bright window, and you'll get flowers every year.

I do have one that is a similar size as yours in moss, as well as three much, much smaller ones that people gave to me after they finished flowering. I've actually pulled out most of the moss, to make sure the moss isn't rotting away the roots inside, so it's basically a pot of roots with very, very loosely moss in there. It dries out quickly, and then I either spritz it damp again with a spray bottle, or run it under the tap.

Either way, as long as you make sure the roots are not soaking wet long term, it should be okay. Your plant does look dehydrated, which could mean it needs to be watered, or the roots have rotted and it has no way to take in water anymore (I don't think that's the case, as that one root looks healthy enough). When these flowers are done, you should think about repotting.

Wow! What a great flowering orchid you have. The plastic cup is way too small for your orchid. I would use an orchid mix to include charcoal and perlite. My phal is planted is planted in a plastic pot and I water it once a week. Clay orchid pots would work also, but you'd have to water it more often.

Orchids will grow in pretty much anything if you give them the time to adapt. For the average consumer, the easiest thing to do to keep your plant alive is to repot it in spring after the blooms have fallen. Repot in soaked orchid bark (found at any garden store) in the terra cotta pot in your photos above. Carefully remove any moss around the roots before tucking it into the clay pot and adding the soaked bark. If you want to get fancy, you can really pot it in anything...

http://forums.gardenweb.com/discussions/1551788/phaelanopsis-experiment?n=104

and a year later... http://forums.gardenweb.com/discussions/3042014/phaelanosis-experiment