A system and method for facilitating physical therapy that may include a wearable display, wearable sensors disposed at varying positions on a user, a processor comprising executable instructions configured to provide a virtual reality environment, virtual characters, and therapeutic activities on the wearable display, wherein the virtual characters interact with the user to provide at least form feedback and positive reinforcement. A new instance of the virtual reality environment, with identifiable differences, may be generated in response to a measured completion or partial completion of a therapeutic activity. Changes in the virtual reality environment may offer users continued indications of progression throughout the duration of a physical therapy program. The system may include a connectable device comprising a display that duplicates a portion of the wearable displays image, enables interaction within the virtual reality environment, and allows for the selection and modification of therapeutic activities.