The expansion of the Internet's infrastructure has brought images to the forefront of multimedia content, leading to the use of image steganography as a means of hiding confidential data. This research proposes a novel method that combines the dynamic 8-bit XOR algorithm and the Advanced Encryption Standard (AES) crypto algorithm to enhance the security and robustness of image steganography. The proposed algorithm encrypts the message using AES and conceals it within the image using the dynamic XOR algorithm. The performance of the method is evaluated based on various objectives, including the impact of secret message size and stego image saving size. Histogram analysis is conducted to assess the pixel value distribution and frequency in the original and stego images. The results demonstrate minimal differences between the histograms, indicating the difficulty in detecting hidden information. Performance evaluation metrics such as Peak Signal-to-Noise Ratio (PSNR), Mean Square Error (MSE), Normalized Pixel Change Rate (NPCR), and entropy are utilized to quantify the algorithm's performance. The impact of the secret message size is investigated, showing a trade-off between text size and PSNR performance. Increasing the secret message size leads to a decrease in PSNR and an increase in MSE. NPCR analysis reveals that a smaller secret message size results in a higher NPCR value, indicating stronger concealment capabilities. Entropy analysis demonstrates a remarkable proximity to the ideal entropy value. Furthermore, the impact of stego image saving size is evaluated. Results show that higher stego image dimensions result in higher PSNR values, indicating better image quality. Entropy values remain close to the ideal level for different stego image sizes. NPCR values decrease with larger stego image dimensions, indicating reduced concealment capabilities. Overall, the proposed method offers a comprehensive assessment of its capabilities as a reliable image steganography technique. The combination of encryption and dynamic XOR algorithm enhances security and robustness. The evaluation metrics provide objective measures to assess the quality, security, and efficiency of the algorithm. The research contributes to the field of image steganography and highlights the potential for real-world applications.