The seal on the spirit-binding ice bead did not actually break!
The reason why the ghost spirit could take on a physical form and reveal itself was because it borrowed the strength of the saliva of ghost dragon, which allowed it to temporarily emerge from the seal!
Once the saliva of ghost dragon was consumed entirely, the spirit ghost would once again be banished and sealed into the spirit-binding ice bead. Hence, the contract had to be made with ghost spirit before the saliva of ghost dragon got exhausted.
After the ghost spirit revealed itself, it scanned the surroundings in a confused manner. Immediately after, it could see the formation of the ‘Five Elements Spirit Contracting Altar’ on the ground—even though it did not recognize the formation, its instincts told the ghost spirit that this thing wasn't something good for it.
