Phillips scored a late winner as the Tangerines secured a 2-1 home win over Leeds United last night.
"I watched him in training and knew he could play," said Holloway. "I watched him on Friday and he didn't look right. Interest is interest and an opportunity is when a deal is agreed and that's the only time you [as a player] should know about it.
"Hopefully he'll settle back down and he'll get what he deserves one day with a really good team. I'm not saying Southampton aren't, because they are, but we can be too. We own him, my chairman owns him, but I have to say what a magnificent man he is to handle it the way he has.
"At the moment I have the most immovable object in Karl Oyston who doesn't want to talk to [Southampton], take the money or negotiate. Southampton might not care any more. Who knows? He's my player who played really well."
Phillips has less than 12 months remaining on his current Blackpool contract.