Please help me save my sick Phalaenopsis!

[me-chele]

I got this phalaenopsis orchid as a sympathy gift about four years ago when a close friend of mine passed away, so saving it means everything to me! I don't know anything about plants and there seems to be a lot of conflicting info out there, so anything the more experienced growers could offer would be helpful. I'm including pictures, one with my coffee cup so that you can see just how small it is now.

The phal used to have large leaves, though it hasn't flowered since I first got it. The spike died (turned brown and dry) right after the flowers dropped and it never grew another one. It did grow a few new leaves and since they were so healthy, I didn't do anything but water it until the older leaves fell off. I thought repotting would help, so in August I bought some Miracle Gro Orchid mix. The moss that it was in was waterlogged and only one root was alive so I used powdered growth hormone (per instructions) and then potted it.

The leaves that are left started to shrivel after that, which is why two of them are trimmed in the picture, where I cut off the dead parts. I started reading online and realized that the soil mix was not good for it. I also read that it should be root-bound and small plants should be in sphag, bigger ones in bark. Even though it's only been three months since it was last repotted, I decided to put bark in the bottom of a new, much smaller pot (with drainage hole) then fill with sphag and put some more bark on top. Was that the right thing to do? Should I just leave it near its eastern window now? Or should I put the whole thing in a Ziplock bag in a shadier area (sphag-in-a-bag style)? Should I fertilize it and if so, using what?

Thanks in advance!