The turning to pale green is certainly not a good sign. Junipers can sometimes keep their color even after they die, so if you're already seeing the color fade, I don't have a good feeling about this. From your profile I see you live in Canada. Depending on where, it would indeed be quite a shock to put this outside now if it isn't already, but it should be in at least a cool environment over the winter. Especially in it's current state, it won't need much water at all for a while.

Hi -is it in regular soil, or grit (the gravel on top doesn't count unless it goes all the way through). BTW, before I forget, you always measure a plant from the top to where it enters the soil - you didn't say how tall the pot was after all. Also, never ever sit a pot in water (like the saucer) because the water wicks back in and rots the roots as yours probably did, though the worst problem has likely been watering much too often. Whether or not the soil on top is dry is not the point - junipers should be allowed to dry almost all the way in between waterings, but that is also confusing because the tree really should be in mostly grit, not any kind of 'soil', and therefore water should run right through it and be allowed to drain away, so even an extra watering won't kill it. The grit can be many types, look at the bonsaisite.com Soil Forum (under General Discussion) for what to use, and only add a little bit of organic components to the grit, all mixed together. Your tree may already be gone - they take a long time to show it, but if not, then give it what it needs and doesn't need... www.bonsai4me.com has basic information on junipers.

Please give you location, and climate. How long have you had it? A picture is a big help. There could be many causes, most of the time with junipers it's caused by being indoors or poor draining soil keeping the roots too wet.

The disease travels back and forth between its two host species - the junipers and a Rosaceous plant - apples, pears, hawthorns, quince, etc. Removal of either host plant can help although most choose to eliminate the junipers (considered weedy) in favor of the fruiting plant. You can also prune out the galls in late winter and any time they appear on the junipers before becoming the orange, jelly-like spore mass in mid to late spring. You can also spray with a fungicide but that will be an endless task.