The assault took place just after 2am at the town’s Lower Main Street and blood can clearly be seen at the side of a local butcher’s shop following the attack.
A man in his 20s was seriously assaulted and was rushed to Letterkenny General Hospital by ambulance.
Gardai sealed off the area last night but that had been lifted by earlier today.
However locals passing the scene could still see signs of the savage assault.
There is little detail on the man’s condition in hospital although it is believed he is serious.
One eye-witness, who came across the scene just moments after the assault, told Donegaldaily.com what she saw.
“I just saw the man being put into the ambulance and he was covered in blood.
“Gardai were sealing off the little lane where the man was found. I don’t know what happened but he looked to be in very bad shape,” said the woman.