Too dry. Just water more. It would do better for you in a plastic pot also.

If it has roots, I would water it thoroughly and let it drain, I would keep it in the clay pot for now mainly because the pot looks a bit big for the plant and I would try and avoid it being too wet for too long.

Does it get much sun? Mine is in a south facing window.

It is currently in an east facing window, with some south sun through curtains. It's the sunniest window in the house. I will go back to watering it more thoroughly than I have been, but it generally seems to be getting worse no matter how I water it. Winter may not be helping. Thanks!

Yes if it has roots! check if the shriveled stems are actually rooted, they might be rotted out or dried out completely so even if you water the green part isn't actually getting any water. In that case would cut and try to re root in water.

My rhipsalis was pouting for about a year as I treated it like I would a regular cactus. Dry, full sun and planted in very gritty mix. After I provided mine with more water and put it in bright shade, it plumped up. For some strange reasons it did even better when I allowed mine to sit in a shallow saucer with some water at the bottom to keep it moist. I imagine the rainforest gets very humid. I know, it is against common practice but it’s seems to be doing well in the past 5 months. It’s still in gritty mix.

Exactly my point Chris, it's not against common practice as it is not an arid land cactus; rather a rain forest plant needing humidity, just not constant & fast draining. I would let it dry out briefly from time to time.

It actually makes sense, if one understands tropical humidity (I grew up in Rio de Janeiro, very tropical & often quite humid).

Thanks everyone! Chris, I have noticed that too- about letting it sit in water. I will definitely repot it in the perlite/cactus mix, especially since I'm not sure what type of mix is in there currently. As a recovering black thumb and having little success with rooting other succulent leaves, I am a little intimidated by cutting the roots to re-root it, but I'll try. Thanks again!

Rhipsalis some root quick, some root slow, some grow fast, some take their time. I bought a number of plants a year ago, and have some nice specimans, others that look like the day I got the cuttings. I am going to give them more sun come summer.