Reports say that Blake and Ryan were photographed on Saturday morning outside his apartment in Boston where the actor is currently shooting the action film R.I.P.D.
The Gossip Girl star was hiding under a big hat before getting in his car.
“They are very much a couple,” a source told People. “They’re really happy together.”
Rumors of a possible romance between the two have been around for a while.
In early October, they were reportedly seen kissing and “all over each other” before Blake boarded the train to return to NYC.
In addition, the two actors were also spotted at a Radiohead show together in NYC and enjoying a snack at O Ya Sushi.
Ryan Reynolds, 35, and Blake Lively, 24, met in the summer of 2010, when they co-starred in The Green Lantern.
Since his divorce from Scarlett Johansson, Reynolds has been linked to a number of Hollywood celebs including Sandra Bullock, Charlize Theron and Olivia Wilde.
After a brief affair with Sean Penn, Ryan’s ex-wife Scarlett Johansson is now reportedly dating Macaulay Culkin’s brother Kieran.
Blake has enjoyed a five months summer romance with Leonardo DiCaprio before splitting in early October.