Are you sure? I thought most of Naruto was based on Shinto mythology?
For those who know, Itachi has the jutsu Tsukuyomi which is a powerful if not one of the most powerful genjutsus. The name Tsukuyomi comes from the Shinto God of the Moon, "Tsukiyomi/Tsukuyomi". Although a direct link between the jutsu and God isn't clear, the genjutsu realm is dark, all in hues of red and shades of black, kind of like the moon (is that stretching it a little?
Then, Itachi's Amaterasu, the black flames that can burn anything is named after the Shinto Goddess of the Sun. Also named, Amaterasu. Of course you can see the connection in this one, the sun and a forever burning flame.
Finally, Itachi's Susano is named after the God of sea and storms, Susanoo. Susanoo in shinto mythology is the brother of Tsukuyomi and is ruler of "Yomi" which is the Shinto netherworld or land of the dead. (Don't a connection if any with susano ability in the anime/manga)
Upon some more research, Izanagi is the genjutsu in the Uchiha clan where you can divert or influence the course of destiny in your favor (how danzo was surviving the blows susano was dishing out to him while facing sasuke) and this jutsu causes the caster to lose sight in one eye.
According to myth, Izanagi purifies himself to being the ultimate being. This was after he undertook a rescue mission to the netherworld but because he looked at the person he was supposed to rescue he got scared and instead of rescuing them, sealed the entrance to the underworld. (this is a whole side story so won't go into it here)
He purified his left eye, Amaterasu was born. When he purified his right eye, Tsukiyomi was born. When he purified his nose (yeah no idea why) Susanoo was born.
Coincidence between him purifying his eyes and the Uchiha clans ocular jutsus....seems like its more than just a coincidence.
Reading over this, I noticed that perhaps the idea of losing an eye after using Izanagi comes from the concept that the Shinto Izanagi was pursuing his own selfish gains, and artificially trying to manipulate destiny is seen as unpure and selfish?
I may be clutching at straws here but I doubt highly that Madara is based on Chinese mythology. Just my $0.02.
