First time I saw something like that was on a set.
The audio guys had their cables ******* like that.
When setting up they just threw their cables out and they unraveled mid air and landed perfectly laid out every time.
This was the very first thing I was taught when I was stagehanding.
Holding one end in your hand pointing away from you, you first try to get the cable spread out away from you as straight as possible. You then coil counterclockwise, giving the cord a half twist each coil. The half twist will make the part in the coil fall into place, but the part on the ground will correspondingly get further twisted.
You have two options - You could relieve the tension by doing the over/under as shown in a previous post, but I prefer to either rotate the coil on the vertical axis to take out the tension, or fling the portion on the ground to the right for the same purpose.
Keep coiling, doing the half twist each coil. Take out the tension when necessary with one of the two methods.
When finished, I tie it together with a string permanently affixed to one end. I was also a sound-guy at one time, and as said, this is how it is done.
Ten years ago I was given an extension cord that was horribly twisted over the entire length. I've been coiling as I've said and although I can still see the twists, it is no longer trash-can material and has become very compliant.