$imageData = base64_encode(file_get_contents($image));
$src = 'data: '.mime_content_type($image).';base64,'.$imageData;
echo '<img src="' . $src . '">';

This displays the image as expected.
Next, here is what the output looks like:

<img src="data: ;base64,/9j/4AAQSkZJRgABAQAAAQAB... <snip>