Looks like it's shaping up pretty good so far. In later fics, when you want the Kyuubi to speak, try italicizing his words so that they stand out, and don't blend in with the paragraph. It's pretty moving too.

Anyway, Zatoichi was a character from old Japanese samurai films that took on a life of its own. "Zatoichi" literally means "blind one", and Zatoichi was a blind swordsmen who was really good at what he did.