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In this tutorial, the instructor demonstrates how to create a demo markdown project by uploading an image into a folder. They use basic markdown syntax to add the image, starting with an exclamation point followed by the alt text in brackets and the file path in parentheses. By dragging the image into the folder and using the correct syntax, the image can be successfully added to the markdown file. This process is shown in the tutorial, with the instructor showcasing the image in the markdown file. Regular markdown syntax is used to add images to markdown files effectively.
