Phelps attended Christ The King Regional High School, in Middle Village, Queens, New York.

After, he played in the McDonald's All-American game with future UNC teammates Eric Montross, Brian Reese, and Clifford Rozier.

Phelps rose to prominence while playing college basketball for coach Dean Smith at the University of North Carolina, with the Tar Heels.

Phelps was a member of North Carolina's 1993 NCAA National Championship team, as the Tar Heels defeated Michigan, by a score of 77–71, in the title game.

Phelps also played in the Netherlands, in Germany with GHP Bamberg, and in the Russian Super League with Spartak Primorie Vladivostok.