Reading legend Mick Gooding fears the club could succumb to successive relegations following a seventh defeat in 11 matches.
After Leyton Orient scored in stoppage time on Saturday, the Royals dropped to 22nd place in League One, making it 18 away games without a win.
Due to bad ownership, the team would finish 20th if the four points they were docked were added back in.
After Dai Yongge appeared to lose interest in the football team this season, the Royals were given winding-up petitions and transfer embargoes.
“I thought that they got relegated last year and there’s been a big turnaround of players in the summer but League One, they will compete in that division,” the former captain and manager told BBC Berkshire. “I didn’t expect them to be at the top, but I thought they would compete. We are not competing. Losing seven out of 11 games is ridiculously bad.
“I am just worried that we haven’t gone as low as I think Reading will go. That is the worry for me. If it continues the way it is going, absolutely [relegation to League Two].
Reading have not played in the EFL’s basement division since 1984.
Three-quarters of the season remains, with Reading not playing in the league for almost a fortnight due to international commitments.
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