On the new revamped Windows 10 login screen, Microsoft added a password review button that displays what’s in the password box in plain text when pressed. It’s a useful feature to minimize the chance to get your account locked because you typed the wrong password too many times. But if you are concerned about someone peeking from your back, you can easily disable this feature.
Open Local Group Policy Editor, navigate to the following location
Computer Configuration / Administrative Templates / Windows Components / Credential User Interface
Double-click the setting “Do not display the password reveal button“, select Enable and OK to save the change.
The change takes effect right away without rebooting your computer. Next time when you are on the login screen, you won’t see the password reveal button anymore. Disabling the setting or setting it as Not Configured enables the password reveal button again.

If you are on Windows 10 Home edition that doesn’t support Group Policy feature, you can do the following registry tweak instead.
Open Registry Editor, navigate to the following location:
HKLM\Software\Policies\Microsoft\Windows\CredUI
If you don’t see CredUI under Windows, you can create a new Key with the same name. And then create a DWORD32 value called DisablePasswordReveal and set it as 1, meaning enable the setting.
Note that, disabling Password Reveal button disables this feature not only in Login screen but also in Microsoft Edge, Internet Explorer as well.
Lastly, thanks to Winaero for inspiring the idea.