Access denied for user 'root'@'localhost' (using password: YES) but 'root'@'%'

Question

I have error like this

$mysql -u root -h 127.0.0.1 -P 3306 -pXXXXXXXXXXXXX

ERROR 1045 (28000): Access denied for user \'root\'@\'localhost\' (using password: YES