I'm using no-ip.com in "Port 80 redirect" mode - in fact my provider doesn't mind port 80 being used it's just I don't want to reveal my static IP. When I type the alias (from either local or remote locations) it gets picked up but then the page gets refreshed and my static IP gets displayed instead of the alias. Is it a by design behavior or how can I fix it otherwise?
It sounds like your LAMP is redirecting to the IP address. Ensure that you have your Virtual Hosts setup correctly using the domain assigned by No-IP.com.
Furthermore its important to note while using a no-ip.com will not hide your IP and can be found with a DNS resolve. More on this below.
no-ip.com is a DNS service that enables to assign a domain a to the IP address - they do not hide your IP address as a domain resolves to a physical IP address i.e yours. DNS services such as
no-ip.com are more ideal for people who have Dynamic IPs and not static.
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