Madrid has a great team there problem was that most of their players where not in form last season you don't expect one team to be playing at a top form every season madrid has been playing at the top level in the past four seasons under anceloti this season was just an exception
I see Madrid coming back coming back to winning ways and challenging for trophies next season the change in the managerial position is going to really have an effects on the team
Yes, Real Madrid were performing great in the past four seasons under Ancelotti and even before his arrival because they have players that control the midfield in the right way and create a lot of chances for them, and they have good striker then. Toni Kroos, Luka Modric, and Casemiro were all in good form, and they are the best midfielders of their time, and Madrid also have good defensive line to rely on that is why they were doing really great.
Now, almost all these players are no more in the team, they now have young players who are not even the best in their position globally, they only have Mbappe, Vini Jr, and Jude Bellingham as the best players in their squad right now, they actually need to reinforce their squad if they want to regain their performance in the field because now every team has signed more players to compete with them across all competitions.