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In this video tutorial, the process of inserting an image into a Jupyter Notebook is explained. First, ensure your image is placed in the current directory, which can be found by running a specific code snippet. The example shows the current directory as "C:\Users\Coolac." After placing the image in the directory, convert the desired cell into a markdown cell. Use the image tag with the appropriate source file name (e.g., "cm.png") to insert the image. Upon running the code, the image appears in the cell. To resize the image, enter edit mode by double-clicking on the image and apply a style to adjust the dimensions.