The HTML <input type="password"> element is a specific type of input elements used to create input fields that deal with passwords . It is designed to deal with passwords so it’s more secure than the normal <input type='text'> we see in every form on the internet.
First: It makes the password not visible to anybody sitting around you by showing "." or "*" instead of the characters you type.
Second: Browsers treat inputs with text type and password types differently, browsers may try to automatically refill the text input types if they have been previously entered which is something you may not always want.