This dress, which FabSugar noted took tie-dye from hippie to hip, is from Matthew Williamson's Spring '08 collection. While tie-dye is nearly synonymous with hippies, the craft of tie dying predates Woodstock by centuries. Some tie-dye techniques and traditions include Japanese Shibori, Indian Bandhani, and African tie-dye. Tie-dye's unique look is accomplished by bundling or tying up the material before applying dye, which only allows the dye to reach part of the area to which it is applied. The boundaries of the dyed and non-dyed areas are usually somewhat blurred.
To see some home design tie-dye finds, read more.
Tie-dye's influence on the world of fashion has also trickled down to interior design. I've found a number of home accents that take cues from the technique of tie-dye. Take a look at the widget to see if there are any that you like.