You might need to change your screen settings, to make the dialog fit. Looks very low resolution.
I've heard you can also:
TAB from the one password to the invisible one to reenter it
Click OK by pressing ENTER.
Which product (Acrobat/Reader), version (including minor), platform (Win/Mac) OS and its version are you using?
I recall there was an Acrobat bug about it discussed on this forum, which I think has been fixed. I do not have a low-resolution small enough to try it. Try to use the latest 11.0.10 version.