A system, method, and a package tracking device for tracking the movement of a package to prevent theft of the package are described. According to an embodiment, a package tracking device adapted to be attached with a package is described. The package tracking device having a unique device identification number allows a user, through an application interface running of a wireless communication device, to associate a geographical boundary (geo-fencing) with the delivery address of the package. The package tracking device operates in a passive tracking mode when the package is within the defined geographical boundary, generates a first signal when the package is moved from a drop location, generates a second signal when the package is moved out from the geofencing associated with the delivery address and operates in active tracking mode when the package is moved out from the geofencing associated with the delivery address.