I was looking at the picture someone posted up with Sagar and Ganga http://www.india-forums.com/forum_posts.asp?TID=757075 , and it def. looks like blood to me.
And at the end of todays episode, they are already sleeping together (it def. looked like they were sleeping together, because their clothes were all over the place, you guys get the picture)
Hmm....confusing!