Bellew (30-2-1, 19 KOs) beat his English heavyweight rival more emphatically than he did a year ago, flooring him twice in the third round and once in the fifth.
Things started off relatively well for Haye, who was coming off an achilles injury suffered in the first fight between the two.
Haye refused to attend the post-fight press conference on Saturday night to speak further about why he could continue, but those close to him were refusing to rule out a return to the ring.
Tony Bellew boxed brilliantly again but I honestly wouldn't be surprised to see him walk away now.
An emotional Bellew said: "David Haye is an incredible fighter, he just got caught in a slugfest. I need that mega star". "I'll have to review the tapes and see what went wrong".
Bellew mostly targeting the body of Haye, who was shooting the jab and looking for an opening to the head. He also changed trainers. David Haye, the man who not so long ago was tasked with rescuing the heavyweight division, reeling, unsteady on his feet, being told he had had enough, on the end of yet another defeat. Haye got back up and tried to throw wild punches at Bellew which left him wide open for another knockdown as time expired in the third round, giving Haye a second knockdown.
Haye was clearly hurt, and Bellew followed up with another sledgehammer of a right, this time to the top of the head. Haye went down face-first and struggled to get up. Haye landed a few shots with the right hand which resulted in Bellew shrugging his shoulders in response in a sign of confidence. Luckily for Haye, the bell saved him as his senses looked scrambled.
Haye's eyes were glassy as he took a nine-count from his knees. Moments later, it was a smashing left hook to the jaw that sent "The Hayemaker" to the canvas. After that no doubt the victory Bellew has not occurred - in the fifth round in exchange Tony with the most powerful blow once again knocked Haye, and after the goal the referee stopped the fight.