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Leicester manager Claude Paul said it was "normal for the fans to be worried" after watching their side get thrashed 4-1 at home to Crystal Palace in the Premier League on Saturday.
Leicester have had a dismal start to the year and have now suffered four consecutive home defeats -- their worst record since 2000 -- and gone seven games without a win.
The manner of this latest setback for the 2016 Premier league champions, who looked lifeless throughout Saturday's game and conceded two goals late on, will have particularly alarmed supporters after reports of unrest in the camp.
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Puel said he was capable of managing the situation although Leicester, who are 12th on 32 points, could yet be dragged into a relegation battle.
"Of course it is a difficult and worrying time," said Puel. "Of course we are in difficulty.
"We were in trouble at the end. It is normal for the fans to be worried, I understand this. The players need confidence, they have played well without fair reward in the last few games."
Earlier this month, Peter Schmeichel, father of Leicester keeper Kasper, said the club did not have a manager capable of getting the best out of the players and indicated that his son might be looking to move.
Although Puel responded by saying Schmeichel Jr. was happy, a series of stories in the British media have suggested that senior players, including Jamie Vardy, are unsettled.
Vardy, who is back in the side after being dropped, again looked isolated and short of confidence against Palace, with Harry Maguire, who was so influential last season, also suffering an off day.
Puel called for a reaction from his team in their next game against Brighton & Hove Albion on Tuesday and asked the fans to be patient.
"The important thing is for the players to react in the next game and to have the support," he said.
"We have to take confidence and support with our fans; it is a young team and we need to keep a positive attitude.
"I manage the pressure; the most important thing is my players. We are a young team and we have shown a lot of quality without a fair result. We have to keep going."