Those close to the singer say they have been "worried" about her for months with some saying her split with her longtime life coach, Mike Bayer, was a major red flag.
“Demi began to feel that the belief that total abstinence is the only way to deal with addiction is false,” a source told PEOPLE.
“She essentially said that she felt it wasn’t the only way and that she can handle her addictions, and she would rather attempt controlled consumption. She felt that she could drink in moderation and she believed she wouldn’t return to harder drug use, and that alcohol was never really a problem as much as other things.”
Another source told E! News that Demi's relapse began a few months ago, around the same time as the release of her song 'Sober.'
"She had a sober coach who she cut out of her life a few months ago. She's been in a downward spiral ever since and has not been doing well," they said.
"She's been heavily using and her friends have been very worried that this was going to happen."
Another source has also come forward and shared that close friends and family urged the former Disney actress to seek further help and treatment, however she insisted she could "handle it on her own".
If you or someone you know needs help, contact Lifeline on 13 11 14 or visit Lifeline.