Hi, Ryan. Different people grow phals successfully in a number of different media.
I personally love sphag as a medium for phals. When it's fresh and fluffy it holds both moisture and air in large quantities. However, I don't pack it tight into the pot, just fluff it around the roots.
The problem with it is that *if it's old* it holds too much water, and doesn't dry out properly. Old medium also is saturated with salts that are very harmful to phal roots. (Phal roots are very sensitive to salts). That's true of old bark as well, BTW.
So I would say you should repot. Phals put on a growth spurt for about three months after getting new medium, just because the new medium doesn't have the salt concentration. Check out the culture notes at Bedford Orchids for a discussion of this.
I repot every new phal as soon as I get it, whether in spike or not.
Also check out the culture notes at the Canadian Orchid Congress, and at Big Leaf Orchids, where advice for new phal growers is given.
A few minutes spent reading these notes will repay you handsomely in good growth and blooms on your new phal.
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