Naruto Manga Chapter 579 Brothers Fight As One
Kabuto closed his eyes with his clothes so as not to be affected by genjutsu, while he mobilized the snakes to attack Sasuke and Itachi. Sasuke and Itachi counter with Susanoo. Sasuke explained based on the research so far to defeat Orochimaru that the snakes can sense the enemy from the air temperature and olfaction. However, Kabuto says that it can not be used to beat him, especially with the locational advantage in his side.
Sasuke felt the snakes appear larger, but he put aside his feelings and give a full attack to the Kabuto directly that he thought was hiding in his clothes. However, Kabuto wasn't there. Kabuto fully transformed into a snake.
Kabuto is hiding and it is confusing Sasuke and Itachi, because even with the help of Sharingan chakra, Kabuto in the form of snakes are everywhere and can't be distinguished which of the original.
Kabuto was in sennin mode (ie, white snake sennin), where he was able to change the skin and appearance. Kabuto has the ability possessed by the Houzuki clan (Suigetsu family clan) that Kabuto could transform his body into a fluid and dispersed. Kabuto also has Karin's power from Uzumaki clan, the power (high-level of healing methods) through research. Karin turned out to be a mother surnamed as Uzumaki Naruto. Kabuto also has Juugo's power.
Sasuke mocked Kabuto that he might as well Orochimaru, the snake is not perfect. However, Kabuto replied that he was no longer the snake, because with the help of sage mode he has increased the level and has become a dragon with Sage Jutsu: Senpou - Hakugeki no Jutsu (Jutsu Sage: Tantrums White).