I first saw an illustration of this in the 16th century ninja manuscript, the Bansenshūkai, and then later in Fujita Seiko's Zukai Hojōjutsu. In neither case was it shown how to make it, just that it is a thing.

After some shout-outs online, someone finally mentioned that it was a "shrimp bundle". Searching that still didn't bring up anything, so I translated it to Japanese (Ebi Musubi) and searched for that, eventually finding a single YouTube video on it. The instruction was poor, but I figured it out!

Now I made this video to contribute to Instructable!

Step 1: Have Rope

The first thing is obviously to have some rope, for my demonstration, I had about 10-15 feet of it, but really any length will do. Hold it with one of the ends sticking out of the top of your hand like in the photo.

Step 2: Fold the Rope

Here, the rope is run in a loop up above your hand and back around again.

Step 3: Small Figure-Eight

Here the pattern is repeated over the big loop below your hand and around the stem above your hand.

Step 4: Keep Repeating...

Step 5: ...And Repeating...

Step 6: ...And Repeating...

Step 7: Until... Voila!

When you continue this pattern, you will either run out of remaining rope, or real-estate for which to wrap the rope around.

Once you are at the end of the rope, simply tuck it behind, or tie it off as seen in the following video!

Step 8: Complete Video

Step 9: Some Considerations

This is a decent way to store rope hung up because there is no sharp bends in the rope, so it doesn't encourage "memory" in the rope. To get an idea as to what rope memory is, tie a tight knot, and leave it fro a day, then untie it and examine how the rope remembers the frictions.
The more the "teeth" in the rope, the better. Teeth in rope terms refers to how it frictions itself; rougher rope bites into itself better because it's surface is more rough. synthetic rope such as nylon doesn't tend to have strong teeth, and as such a bundle such as this doesn't hold very well. This is why I chose raw hemp rope for this demonstration.
If this bundle is to be hung up, it is best to pre-tie some sort of loop in the top of the rope (such as a slip knot) to hang it with.