Zatoichi's katana is a shikomizue. This is a sword which is concealed within a wooden cane, thus the cane itself is both handle and scabbard.
This is the fifth of 26 films to star Shintaro Katsu as Zatoichi
While Zatoichi is repeatedly referred to as a masseur in the English subtitles, the Japanese term Anma would be more correct. Anma was both the term used for the practice and the generally nomadic practitioner of Japanese massage. In fact, edicts were passed so that massage was solely a vocation for the blind, forbidden to be learned by any with sight.
This film is part of the jidai-geki genre, which translates to 'period drama'. It is also a 'chanbara' (sword fighting) film.