Has any new growth ever made it to a full size or is this happening every time the plant initiate the new growth?
I think it sounds like something is wrong with the plant itself.
Even with severe underwatering, these plants will still grow the new cane. It will just mature very small and not as plump, and leaves might be all crinkly depending on how severe the drought was. lol
All sphag might work, but I would recommend against it. Plus, try and keep this plant warm year around for best results.
but the habit you described sounds like it is the plant, not you.
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