We investigate the real-time evolution of quarkonium bound states in a quark-gluon plasma in one dimension using an improved QCD based stochastic potential model. This model describes the quarkonium dynamics in terms of a Schrodinger equation with an in-medium potential and two noise terms encoding the residual interactions between the heavy quarks and the medium. The probabilities of bound states in a static medium and in a boost-invariantly expanding quark-gluon plasma are discussed. We draw two conclusions from our results: One is that the outcome of the stochastic potential model is qualitatively consistent with the experimental data in relativistic heavy-ion collisions. The other is that the noise plays an important role in order to describe quarkonium dynamics in medium, in particular it causes decoherence of the quarkonium wave function. The effectiveness of decoherence is controlled by a new length scale $l_{rm corr}$. It represents the noise correlation length and its effect has not been included in existing phenomenological studies.