This is a rare meteorological phenomenon called a ‘SKY PUNCH’. When people see these,they think it’s the end of the world. Ice crystals form above the high-altitude cirro-cumulo-stratus clouds,then fall downward, punching a hole in the cloudcover.
Virga clouds look a bit like jellyfish floating in the sky. The "tentacles", which you can see hanging down, are called "virga". They are essentially rain, or snow, that evaporates away before ever reaching the ground. Virga common over Arizona