Hydrification Technique

This jutsu, a hallmark of the Hōzuki clan, allows the user to liquefy any part of their body at will, from the hair on their head to the muscles in their arms. Gengetsu Hōzuki liquefies into a mixture of oil and water, but it's not clear if this same mixture is used by other members. When the user is struck by a physical attack, the impacted area becomes liquid, causing the attack to pass through them and leave them unharmed. The user then solidifies back into their original form.

In addition to defence, Hōzuki can convert their body into liquid for any number of purposes, such as infiltrating buildings or sneaking up on targets; the anime depicts users camouflaging themselves for the latter purpose. They can pump water into their muscles to increase their strength, shoot water from their fingers as an attack, or use their bodies to douse targets. Despite the versatility of their liquid states, it renders Hōzuki very vulnerable to Lightning Release. If an attack overwhelms a user and they pass out, their unconscious body will take on a jelly-like state. If a Hōzuki is captured and placed inside a sealed container, they will be unable to move or escape.

Trivia

 * is the Japanese term for "hydration", but separately, the kanji mean and  respectively, translating to something more similar to "hydrification" ("to become water"). This explains the effect of this technique more precisely.
 * By researching Suigetsu Hōzuki's body, Kabuto Yakushi creates a similar defensive skill that he uses by coating his body with bodily fluids.