Many sites are now having a means for one to show passwords when typing into a password field.  For example, PayPal has an eye that you click to see the password you have entered.  The only need to hide passwords when typing into a password field is to keep onlookers from seeing the password.  Google also has the show link for seeing what one has typed into a password field.  Comes in handy especially when one uses strong passwords and you type one character wrong consistently.