Carlo Ancelotti's 'future at Real Madrid is uncertain' after dismal 3-1 loss to AC Milan... as reports in Spain claim the 'crisis club' will consider sacking the manager if losing streak continues

Pressure is mounting on Carlo Ancelotti in the wake of Real Madrid 's dismal 3-1 defeat by AC Milan , according to reports in Spain.

The LaLiga giants, who came into this season's revamped Champions League format as the reigning title-holders, suffered their second defeat of the European campaign on Tuesday, losing to Ancelotti's old side Milan at the Bernabeu.

The clumsy and disjointed performance occurred just a week after Madrid were humbled 4-0 by fierce El Clasico rivals Barcelona in LaLiga.

Malick Thiaw opened the scoring for the visitors before Vinicius Jr restored parity in the 23rd minute, converting a penalty he won from Emerson Royal's mistimed challenge.

Former Real Madrid striker Alvaro Morata struck for Milan to hand the Italian giants a 2-1 lead at the break, and the game ultimately left Real Madrid's reach after midfielder Tijjani Reijnders found the net with a smart finish in the 73rd minute.

Spanish newspaper Marca claim Madrid have now 'hit rock bottom', accusing Ancelotti of not knowing his best team despite being three months into the new season.

Los Blancos enjoyed a sensational campaign last term, winning LaLiga by 10 points and triumphing over Borussia Dortmund in the Champions League in June.

But the Spanish giants have struggled to find their rhythm since the highly-anticipated arrival of World Cup winner Kylian Mbappe, who arrived at the Bernabeu this summer on a free transfer from PSG.

Ancelotti has been tasked with inputting Mbappe into a rich and enviable team of attacking talents, including the likes of Jude Bellingham, Rodrygo, Vinicius Jr and Federico Valverde, to name a few.

According to fellow Spanish outlet Relevo , Ancelotti's job could be at risk if results fail to improve rapidly.

Although the newspaper suggested that Real Madrid have never wanted to axe Ancelotti from his managerial role, the Bernabeu chiefs will be forced to act were the situation to become 'untenable'.

As it stands, Real Madrid sit 17th of 36 in the first phase of the new Champions League, which would land them in the playoffs and outside automatic qualification to the knockouts should their inconsistent form continue.

Meanwhile, in LaLiga, Barcelona have already chalked up a nine-point advantage over their bitter rivals, with Real Madrid sitting second just narrowly ahead of Atletico Madrid.

Reigning Premier League champions Manchester City also suffered a shock 4-1 defeat at the hands of Sporting Lisbon on Tuesday in what was celebrated as Ruben Amorim's farewell to the club ahead of joining Manchester United next week.

Bernardo Silva admitted after the match that City were in a 'dark place' having suffered their third successive defeat, first losing to Tottenham in the Carabao Cup before later falling to Bournemouth in the Premier League last weekend.

Despite sitting 11 places higher in the Champions League table ahead of Wednesday's matches, City only boast one point more than the Spanish giants and must play Feyenoord, Juventus, PSG and Club Brugge between now and the end of the group stage.

During the same timeframe, Real Madrid play Liverpool, Atalanta, Salzburg and Brest.