Looks a goner to me. Only chance is to cut above and below the healthy tissue to eliminate all rotted pieces, let heal for some weeks and place on top of potting mix for roots to form. Many pieces like this have taken root, many have not...

Thank you for your help. I will give this a try.

Thank you so much for the pic references! I will double check the roots and buy new soil.

when I cut off the rotted pieces should I put any sulfur or cinnamon powder on the area?

You can if you want. I never do, but I also don’t live in a humid environment.

..."while the bottom is starting to get soggy"...

Going by what you said, If it is soft and soggy, it may be rotting.