Fuuta Okeya, a 14-year-old student, can see ghosts and wears a bandage on his left cheek to hide his striking birthmark. One day, a girl with a scar on her forehead named Kouko Ishigami, accompanied by a ghost of a tall and friendly man, transfers into his class.
Fuuta quickly takes a liking to Kouko, wondering if it might be love at first sight. After waking up crying from a strange dream involving her, he feels a nostalgic connection to Kouko and becomes determined to befriend her. However, a chain of events forces Fuuta to reveal his birthmark to Kouko, to which she declares him to be the enemy of her life. A furious Kouko explains that the two are bound by reincarnation, and that Fuuta's birthmark is a curse she engraved on him in one of their past lives to recognize and eventually defeat him.
Kouko brings out a circular object made of flames known as the "spirit circle" and attacks Fuuta, pushing him off a flight of stairs. As he falls, Fuuta is thrown back into the insight of one of his previous lives. <i>Spirit Circle</i> chronicles Fuuta's journey back and forth his several past lives as he gradually unravels the mysteries behind his apparent bad blood with Kouko.
