It might survive, but it will be a long process of tidying up, repotting, finding out how to give it good growing conditions so will it be worth the time and trouble?

Here is a link to one of many past threads on this subject.Saving a Phalaenopsis

Here is another link.

American Orchid Society Phalaenopsis notes

y would you waste all the time and effort required to resurrect a nearly dead plant toward a most unlikely effort... this is the result of the orchid business having evolved to a throw away plant model... this plant should be thrown away.

It's fine, I'm not concerned with time or the effort it take.

Should I take it out, cut off dead/rotted roots, then repot in an orchid mix?

It is compost! Or in 5 years you may get a bloom. More valuable as compost.

Nobody knows, I would try cleaning it well and placing it in sphagnum moss for now.