The point where text is inserted into the Terminal window is indicated by a cursor. You can customize the shape and color of the cursor. You can also make the cursor blink.
Choose Terminal > Preferences and click Settings.
Click Text.
Select a setting to modify from the Settings list, located on the left side of the Settings pane.
In the Cursor section, select a style of cursor.
Block
Underline
Vertical Bar
If you want the cursor to flash, select Blink cursor.
To change the color of the cursor, click the Cursor button, select a color from the color palette, and then close the palette window.