Shuiyue Guanyin, also known as Water Auspicious Guanyin or Water Auspicious Bodhisattva, is the corresponding incarnation of Guanyin's thirty-three phases of observing water with one heart. The name 'Shuiyue' is not derived from early Buddhist scriptures, but rather from the fusion of Buddhism with local culture after it was introduced to China. There are different theories about the origin of Shuiyue Guanyin, but it is currently unanimously believed to be related to the mid Tang painter Zhou Fang. According to Xuanzang's "Records of the Western Regions of the Great Tang Dynasty", Zhou Fang created the body of Guanzi Bodhisattva in the Bu'luojia Mountain, which is described as "a marvelous creation of water and moon". This painting depicts a full moon surrounding Guanyin, surrounded by a bamboo forest. Since the Tang Dynasty, the image of Shuiyue Guanyin has been constantly evolving, and its sitting posture has also undergone several changes.

Shuiyue Guanyin, also known as the "Bent Leg Guanyin", is a non-traditional expression of Guanyin Bodhisattva. This image of Guanyin Bodhisattva involves lifting one foot and sitting cross legged, presenting a more casual and relaxed posture. Unlike the traditional solemn and dignified image of Guanyin, the crossed legged Water Moon Guanyin conveys a more intimate and unrestrained atmosphere, reflecting the infinite compassion and tolerance of Guanyin Bodhisattva towards sentient beings in Buddhism. This form of manifestation of Guanyin Bodhisattva is usually depicted as sitting or floating on the surface of water, often accompanied by bright moonlight in the background, symbolizing wisdom and purity.