How do I make my terminal display graphical pictures?

This is a quick mockup I copy and pasted together. I imagine this being super cool and useful. Does something like this exist already?

[U1and0]

“ need to disable the external image viewer wither by passing -o ext_image_viewer=0 or by going into the options menu ('o') inside w3m and disable external image viewing.”

[reboot_in]

“sudo apt-get install caca-utils cacaview /PATH/TO/image.jpg”