I hear you...the first cold is always the most scary, I think (tied with the first high fever)! Anyway, babies are born breathing out of their noses- helps with breastfeeding-, so they will try to do that the most (though don't worry, if they cannot breathe out their noses, they will open their mouths and breathe). So that being said, that is why the stuffy nose seems so much worse than it is (and probably sounds worse too).
Continue the saline drops and aspirator (but limit it to like 4 times a day...if you do it too much, you can cause swelling of the membranes and make the problem worse according to my pediatrician) and warm showers are good (if his unbillical cord stump has fallen off, you can actually take him in the shower with you...just wrap him in a towel to make him less slippery until you are used to holding him in the shower...my boys both loved that).
Also, try letting him sleep in his bouncer or propped up or even on your chest for a few nights (I loved my recliner for this!!!). I also put Vicks Vapor Rub on MY chest and let him sleep on my chest/in my arms...then he got the benefit of the Vicks without having to have the medicine on him.
As far as the blue tint...if you are AT ALL worried about his breathing, call his MD right away! Watch for him sucking for air (you will see him sucking the skin in between his ribs) and wheezing sounds. You are mommy and we definitely have a good gut about our kiddos! Don't be afraid to call at any hour of the night! They can usually take you through a series of questions to see if he needs to be seen right away and it usually calms me after I talk with them (my pediatrician's on-call nurses are fabulous, very patient and extremely knowledgeable!!!)!
The dry lip is probably because, think of when you have been sick, what water we do get in gets put to work with the healing process, so he may just be a little dehydrated. Just try nursing him a little more often (would not suggest water or Pedialyte at his age yet). Maybe because he cannot breathe as well, he is not getting as much per feeding. Is he running a fever? Remember...at less than 2 months, any fever over 100.5 needs to be reported right away (after 2 months, they say only to go to the hospital if the fever is 105 or over...crazy, huh...believe me, my 2-year-old son has been up to 104.5 many times and it freaks me out every time and I call the on-call nurses every time too...hard to see our kiddos sick, huh!?!) Hope something helps! Don't feel helpless...you are doing a great job!!!